In a new funding round led by Panthera Growth Partners (PGP), Matrix Partners, and Kae Capital, D2C skincare brand Foxtale has raised Rs 119.5 crore, or roughly $14 million. For the Mumbai-based company, this is the second funding round in the last two years and the first in 2024.
Prior to this, the business had raised $4 million in a seed round in August 2021 and a pre-Series A round from Matrix and Kae Capital in June 2022.
Foxtale is an affordable skincare brand that debuted with four staple products and was founded in 2021 by Romita Mazumdar. Among other things, its product line addresses hydration, acne treatment, and anti-aging.
The three-year-old business is reportedly valued at approximately Rs 790 crore, or $96 million, after the new round is allotted, according to the media.
In the most recent fiscal year, Foxtale expanded at an explosive rate, generating operating revenue of Rs 13.8 crore as opposed to Rs 20 lakh in FY22. But in the fiscal year that ended in March 2023, the company’s losses increased 7.5 times to Rs 18.49 crore from Rs 2.48 crore in the previous year.
The company stated that it broke even in the second quarter of FY24 and that, within the next five years, it hopes to grow to be a Rs 1,000 crore brand.
Foxtale’s competitors include Sugar Cosmetics, WOW Skin Science, Plum, MamaEarth, Minimalist, and a number of other well-known companies. For the D2C skincare ecosystem, which hasn’t seen many funding activities in the last year, Foxtale’s funding is welcome news. Sugar has been aiming to secure approximately $100 million in primary and secondary capital; however, the agreement has not yet come to pass.
