Nykaa had raised US$ 3.2 million in its first round of funding in June 2014 from a consortium of influential Indian investors. While with the Series B Fund, it’s expected to support its eCommerce growth, launching private label and strengthening marketing
India’s fastest growing online beauty and wellness retailer, Nykaa.com, has recently announced the completion of US$ 9.5 million equity investments as part of its Series B financing led by anchor investor, the TVS Shriram Growth Fund.
The Other investors who supported this round of funding include Techpro Ventures, the Family Office of Atul Nishar, Family Office of Harsh Mariwala, Dalip Pathak, seasoned professional from the PE industry in his personal capacity, and Michael Carlos, (former President of Givaudan Fragrances).
“India has had one of the fastest growing beauty businesses around the world. This coupled with Nykaa's superior on-line distribution model, makes it best poised for future success,” noted, Michael Carlos, Board member and Former President of Givaudan Fragrances.
Additionally, about 30 per cent of investment is from investors who supported Series A round of funding.
“Nykaa has extremely credible promoters combined with a strong management team. During the last two years it has achieved impressive results in terms of growth and leadership position in the beauty and wellness vertical. I am excited about this partnership,” said Atul Nishar, Entrepreneur and Investor.
The Equity investment will accelerate growth in Ecommerce, aid in launching Nykaa’s private label, scale marketing and grow the team. Moreover, it will enable Nykaa to continuously add to its suite of beauty and wellness products for its rapidly expanding customer base across India.
Over the coming year, Nykaa.com plans to increase its GMV 5 fold. As part of its Omni-channel strategy Nykaa plans to open three destination stores in Delhi, Mumbai and Bengaluru.
Founded in 2012, under FSN E-Commerce Ventures Pvt Ltd, Falguni Nayar is spearheaded by Nayar, a former Managing Director of Kotak Mahindra Capital Investment Banking, India’s leading investment bank, along with a group experienced professionals.
“We greatly value the confidence our investors have reposed in our strategy and our commitment to building a sustainable online beauty and wellness business. We will continue to bring the best of globally available products, trends, content, tools and services to the Indian customer. However, none of this would have been possible without the support and commitment of the great team at Nykaa,” said the Online Beauty website’s Founder.
Nykaa has expanded the team aggressively, with a headcount of 140 people including 5 experienced senior leaders to support the expansion plans.
With 350+ brands and 35,000 products, Nykaa.com offers a comprehensive selection of makeup, skincare, hair care, fragrances, bath and body and luxury products. Nykaa’s key differentiator is that all its products are authentic, and sourced directly from the brands or authorized distributors.
Nykaa is committed to help contemporary Indian women and men make beauty and wellness choices best suited to their needs and stage of life, whether it is products, advice, content, tools and services.
Reportedly, Nykaa.com has sold 1.25 million products to date, with over 4 million visitors to the site every month.