Mumbai based D2C skincare brand Foxtale has raised $30 million in its Series C funding round. The round was led by Japanese multinational company KOSÉ Corporation.
It also saw the participation of existing investors such as Panthera Growth Partners, Z47 and Kae Capital. The funds raised will be used for deepening its footprint in existing markets, expanding into new categories and strengthening its R&D capabilities. The company has also entered into a strategic partnership with KOSÉ corporation to expand the global beauty leader’s presence in India.
“This funding by KOSÉ Corporation will enable us to scale faster, innovate deeper, and bring effective and accessible skincare to even more people across India. Beyond growth, this partnership also marks a step towards fostering stronger global relations, blending international expertise with local insights,” said Romita Mazumdar, Founder, Foxtale.
Speaking aboout the partnership, Kazutoshi Kobayashi, President & CEO of KOSÉ Corporation said, “Through this partnership, we will take a major step forward into the next decade as we aim to establish a greater presence in the Indian market and expand our business.”
Skincare brand Foxtale claims to have achieved 150 per cent growth in FY25, more than doubling last year’s revenue. Foxtale's direct-to-consumer (D2C) channel generates half of the brand's revenue. It also boasts a strong repeat purchase rate of 50 per cent, claims the company. As per the company, this growth was driven by their strong focus on D2C through its website. The company now aims to achieve profitability by the close of the next financial year.
The skincare brand last raised a funding of $18 million in June 2024. The funding round at that time was raised Panthera Growth Partners. The skincare brand started in 2021 by Mumbai based Romita Mazumdar, reportedly makes a Rs 300-350 crore in gross revenue.
This fundraise comes at a time when D2C brands have been seeing a slowdown. For instance, personal care brand Mamaearth is at loggerheads in several sections.
Mamaearth’s parent company Honasa also reported a consolidated net loss of Rs 19 crore in the July-September period. This was a sharp increase from the PAT of Rs 29 crore that the company reported in the year ago period. Additionally, the company’s offline distribution model has come under criticism. Meanwhile, D2C beauty company Wow Skin Science is looking for a strategic buyer as per a report by the Economic Times. Additionally, Hindustan Unilever (HUL) is also reportedly in talks to buy (D2C) beauty brand Minimalist.
