MyGlamm gets additional Rs 255 crore funding as part of Series C round

MyGlamm has raised an additional Rs 255 crore in a mix of debt and equity as part of its Series C funding round, a cofounder of the direct-to-consumer beauty brand said.

This takes the total proceeds in this round to Rs 785 crore ($106 million), the most raised by a beauty brand in Series C funding in India.

Of the latest tranche of Rs 255 crore, Rs 100 crore in equity funding has come from Trifecta Capital’s newly raised late-stage equity fund, Darpan Sanghvi told ET. The rest is debt — Rs 75 crore from Trifecta Capital’s debt fund and Rs 80 crore from Stride Ventures.

As part of Series C, the company had
raised Rs 355 crore in July, led by American venture fund Accel, and
Rs 175 crore in March when the round opened. MyGlamm was valued at a little over Rs 2,000 crore in July.

With this new fundraising, the company has earmarked $100 million in cash to be invested for growth through acquisitions, as it tries to create a larger ‘Unilever-style’ umbrella of FMCG brands.

“We are looking at making four to six acquisitions across categories such as hygiene, bath and body, skin, hair and naturals over the next 90-180 days,” Sanghvi said.


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These set of companies will help MyGlamm offer its customers everything under the same ecosystem, he said. “These acquisitions will be made using around 30-40% cash, 30% stock swap and around 30% earnouts for the founders (of the target companies).”

According to him, MyGlamm plans to hit the public markets by the end of 2023, making way for smoother exits for early investors and value realisation for the brands.

“We are currently at a revenue run-rate of $100 million and are expected to reach $250 million by the end of March 2022,” he said.

Founded in 2017, MyGlamm is a content-to-commerce company that sells products across makeup, skincare, haircare, bath body and personal care. It is acquiring 350,000 new customers every month and is present at 30,000 points of sale across 100 cities in India, according to the company.

Last year, it
acquired POPxo, a women-centric digital platform, and has seen its monthly active user count grow to 60 million from 48 million in September 2020. Last month, it
took over BabyChakra, a mom & baby community of 20 million mothers and 10,000 doctors, for an undisclosed amount. It plans to invest Rs 100 crore in BabyChakra.

New-age, digital-first personal care and beauty brands such as Nykaa, Purplle, Sugar Cosmetics, Mamaearth and Plum Cosmetics have attracted the interest of risk investors. The pandemic has boosted the business of online-led brands as it has hastened digital adoption by consumers and led them to increasingly buy these products. While
Nykaa is on its way to list on the domestic bourses, Purplle is set to close a funding round.


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