After securing Rs 75 crore last month, cosmetics and beauty e-commerce platform Nykaa has now raised series D funding of Rs 165 crore from a clutch of investors including Hero’s Sunil Kant Munjal, Harsh Mariwala, Dalip Pathak, amongst others. The company will use the fresh capital to expand its retail footprint.
Nykaa sells makeup, skincare, hair care, fragrances, bath and body, and other beauty/wellness products for women and men online. It claims to offer over 80,000 products across 700 brands on its online portal. Nykaa recently ventured in offline selling through physical stores. The current count of stores for the brand is 11, and it plans to take that to 30 by 2020.
The company was started in 2012 by former investment banker Falguni Nayar. The company said in its statement that for the FY18, it clocked net revenue of Rs 570 crores as compared to Rs 214 crore in FY17. And, that Nykaa is now expected to turn profitable in FY19.
Before Rs 75 crore last month, Nykaa raised Rs 100 crore in 2016 from Max India, the Sunil Munjal family office and Harsh Mariwala. In 2015, it had raised Rs 60 crore in funding led by TVS Capital with participation from Harsh Mariwala, Atul Nishar, and Dalip Pathak through their family offices along with Michael Carlos. In 2014, it received Rs 20 crore through undisclosed private investors which included high net worth individuals (HNIs) and NRIs.
Big e-commerce players Amazon, Flipkart, Jabong, Myntra have verticals for beauty and wellness products, but Nykaa’s offering is much more specific to types of products and skin/beauty issues. In the beauty/wellness online space, Nykaa competes with Purplle.com, Slassy.com, Aplava.com, among others, however, it is currently the market leader in the segment.