Honasa Consumer Limited, the parent company of MamaEarth, achieved a significant arbitration victory on Thursday against its former Dubai-based distributor, RSMM General Trading LLC. The arbitral tribunal awarded Honasa AED 7,254,340, equivalent to approximately ₹18.88 crore.
The final verdict, issued by sole arbitrator Justice (Retd) Hrishikesh Roy, a former Supreme Court judge, confirmed that Honasa’s termination of the Authorised Distributor Agreement (ADA) with RSMM was valid. The tribunal determined that RSMM had breached the arbitration and exclusive jurisdiction clauses of the agreement by approaching the Dubai courts. Furthermore, RSMM has been permanently barred from initiating or continuing any legal proceedings in Dubai.
The monetary award consists of AED 4.34 million for loss of profits resulting from RSMM’s contractual violations, AED 1.56 million designated for litigation costs incurred in both Dubai and India, AED 1.06 million for replacement costs, and ₹76.5 lakh for arbitration expenses. Post-award interest will apply if the awarded amounts remain unpaid after 30 days.
The conflict dates back to 2020, when RSMM and Honasa established an authorised distributor agreement for the UAE market. Following the termination of the agreement, RSMM initiated legal action in Dubai, initially securing a judgment of AED 25 million from the Court of First Instance in May 2024. This amount was significantly reduced to AED 1.7 million by the Court of Appeal in February 2026, a decision Honasa is currently contesting in the Cassation Court, with a ruling expected on June 17, 2026.
On the National Stock Exchange (NSE), Honasa’s stock closed at ₹353 on Friday, marking a slight increase and reaching a 52-week high of ₹364.70 during the day. Over the past year, the stock has appreciated by nearly 39%, currently trading at a trailing price-to-earnings ratio of 73.72 and holding a market capitalization of approximately ₹11,486 crore.
Published on May 15, 2026
