China-based oral care startup Soocas has raised a 200 million yuan ($30 million) Series C round led by Vision Knight Capital, it said in a statement on Monday.
Other investors that joined the round include Kinzon Capital, Cathay Capital, Greenwoods Investment and Yunmu Capital. The latest funding will be used to further drive product development and marketing efforts.
Soocas is one of Chinese phonemaker Xiaomi’s home appliance portfolio startups and part of the US-listed company’s growing artificial intelligence smart home ecosystem. Xiaomi’s founder and chief operating officer Lei Jun has said that the smartphone maker plans to invest about $1.5 billion into connected homes-related products and services.
According to local media, Soocas had scooped up a 100 million yuan ($14.7 million) Series B round last March.
Founded in 2015, Shenzhen-based Soocas claims it has achieved profitability since its launch and has seen its margin increase over the past few years. In 2018, Soocas sold 2.5 million electronic toothbrushes.
The startup’s founder Meng Fandi said that personal care is an extremely competitive industry, but he expects market consolidation to happen soon.
“We’re seeing huge opportunities in the personal care industry. For instance, ten years ago, the smartphone or mobile market in China was dominated by foreign brands, but now, Xiaomi is the dominant brand in China. The way I see it, Chinese business will still be done by the Chinese themselves.
“Compared to traditional brands like Philips, Soocas’ positioning, design and price of our products can cater better to the younger generation. Those who get the mind of young people are more likely to have a future,” he said.