Foxtale Bags $18 Mn To Offer Safe Skincare Solutions To Women

Direct-to-consumer (D2C) skincare startup Foxtale has secured $18 Mn (around INR 150 Cr) in its Series B funding round led by Singapore-based Panthera Growth Partners, with participation from existing backers Matrix Partners India and Kae Capital.

The Mumbai-based startup plans to use the fresh capital to expand its digital footprint and introduce newer categories in its portfolio of products, founder and CEO Romita Mazumdar said.

Founded in 2021, Foxtale provides targeted skincare solutions to address a variety of skin concerns such as acne, ageing and hyperpigmentation among others.

It sells a wide range of skincare products such as serums, masks, moisturisers, face washes, sunscreens, which are retailed on Foxtale’s website, online marketplaces and offline stores.

Foxtale claims to cater to users across more than 100 cities across India, with its products accessible to women in the 23-35 age group in tier I, tier II and tier II cities.

The startup claims to have clocked a gross merchandise value of INR 172 Cr in financial year 2023-24 (FY24). Foxtale posted a 69X jump in its revenue to INR 13.8 Cr in FY23 as against INR 20 Lakh in the year ago period.

However, its loss widened 7.5X to INR 18.49 Cr in the year ended March 2023 as against INR 2.48 Cr in FY22.

The D2C brand claims to have a retention rate of more than 50% and is eyeing to attain profitability in FY25.

The startup also featured in the 2024 edition of Inc42’s FAST42 list of the country’s top and emerging 52 D2C brands.

Foxtale competes with the likes of Minimalist, Pilgrim, Plum, and Mamaearth among others.

The startup last raised INR 119 Cr (nearly $14.4 Mn) in a funding round led by Panthera Growth Partners in March. The round also saw participation from existing investors Matrix Partners India and Kae Capital via multiple entities.

Prior to that, in 2022, it raised $4 Mn in its pre-Series A funding round led by Matrix Partners India.

Beauty and personal care (BPC) products in the burgeoning D2C segment have witnessed rapid growth in recent years amid strong demand from consumers for products made for them, tailored to individual skin and body types.

The BPC landscape’s transformation has led to the emergence of several innovative brands, which are also attracting significant funding from investors.

Last week, skincare solution startup CHOSEN by Dermatology raised a seed funding of $1.2 Mn (around INR 10 Cr) from friends and family.

It was also reported earlier that Bengaluru-based WOW Skin Science was in talks with investors to raise $65 Mn-$75 Mn at a valuation of $400 Mn.

As per an IMARC Group report, India’s BPC market size reached $26.3 Bn in 2022 and is projected to reach $38 Bn by 2028, growing at a CAGR of 6.45% between 2023 and 2028.