Good Glamm Group, previously known as MyGlamm, has become India’s first beauty commerce startup to turn a unicorn after it raised $150 million in a Series D funding round led by Prosus Ventures (Naspers) and Warburg Pincus.
The funding round valued the content-to-commerce platform at $1.2 billion. Good Glamm is the 35th startup this year to join India’s fast-growing club of unicorns, which refer to privately held startups valued at $1 billion or more.
Existing investors Stride Ventures, Alteria Capital, L’Occitane, Bessemer Venture Partners, Amazon, Ascent Capital and the Mankekar Family Office also took part in the funding round, Good Glamm said in a statement on Tuesday.
The company also sold secondary shares worth $10 million during the funding round.
India’s D2C (direct-to-consumer) market has been seeing increased investor interest. Earlier this year, D2C brands such as meat delivery startup Licious and cloud kitchen brand Rebel Foods entered the coveted unicorn league.
MyGlamm recently rebranded itself as Good Glamm Group in a bid to consolidate its businesses under a single brand.
The group comprises a portfolio of proprietary beauty and personal care brands marketed across a digital ecosystem of content, community and creator assets.
These comprise personal care brands, including cosmetics brand MyGlamm, premium mom-and-baby brand MomsCo, and baby products brand Baby Chakra, which it acquired this year.
These brands leverage the group’s proprietary digital assets, which comprises content brand POPxo for women, parenting platform BabyChakra, and recently acquired ScoopWhoop.
It also owns influencer management platform Plixxo, which has close to 220,000 influencers onboard.
“Previous fundraises (this year) allowed us to make various acquisitions as we built the content-to-commerce platform. However, this fundraising is about bolstering value engines for our brands. This includes building for offline distribution, research and development on new products, and for building our tech and data functions,” Darpan Sanghvi, group founder and chief executive, Good Glamm Group, said in an interview.
Sanghvi said that Good Glamm is clocking an annual revenue run rate of $120 million, which it aims to grow to $250 million by March next year.
“We are a house of brands. So, influencers help us with the acceleration of trust and discovery through their different cohort of followers. Hence, it is a fast way to accelerate trust when compared to larger FMCG brands,” said Naiyya Saggi, co-founder, Good Glamm.
The company is expected to close four more acquisitions this year in the beauty and cosmetics space.
“We are following a ‘house of brands’ strategy where we are looking at strategically acquiring brands to fill the gaps in our current portfolio. This is followed by an ecosystem model of content and influencers driving commerce,” said Priyanka Gill, co-founder, Good Glamm.
Good Glamm is currently present across 30,000 retail stores, which it plans to expand to 100,000 stores by March.
The company raised ₹175 crore as a part of its Series C funding in March. It raised an additional ₹355 crore in July, led by Accel.
“We are delighted to back Darpan and the entire team at the Good Glam Group. With a strong portfolio of D2C brands and proprietary content assets, the group is well-positioned to scale rapidly and create a large digital-first business in the beauty and personal care space,” said Vishal Mahadevia, managing director and India head at Warburg Pincus.
Meanwhile, Good Glamm is also looking to expand overseas by August next year. It is also targeting a public listing in the next three years, according to the founders.
This article was first published on livemint.com