Mumbai-based beauty marketplace MyGlamm has raised INR 13.5 Cr in a mix of debt, equity, and preference shares from venture capital company Trifecta Capital.
According to the ministry of corporate affairs (MCA) filings accessed by Inc42, MyGlamm has raised INR 12 Cr by allotting 120 debentures at a price of INR 10 Lakh per debenture to Trifecta. MyGlamm has also issued 81 preference shares and one equity share to Trifecta for INR 1.5 Cr and INR 187K respectively. The price per share for this deal stood at INR 187K.
The filings showed that MyGlamm has committed 135 preference shared to Trifecta which means that there will be another tranche of funding coming for the online beauty marketplace.
Prior to this, MyGlamm raised INR 100 Cr in a funding round led by Bessemer Venture Partners and the Mankekar family office. Existing investor beauty and cosmetics brand L’Occitane had also participated in the round. In April 2017, the startup had raised $6 Mn in a funding round led by L’Occitane.
Founded in July 2015 by Darpan Sanghvi, MyGlamm is an online beauty products marketplace. The company has bet on collaborations with high-profile celebrity stylists and designers such as Manish Malhotra, Daniel Bauer, Sidharth Malhotra and others to grab eyeballs.
Besides MyGlamm, Darpan Sanghvi also runs an offline beauty and wellness business under another company called Sanghvi Brands, which operates the franchise of L’Occitane Spa and other high-end salons and spas like Warren Tricomi, Elle Spa & Salons and Holyfield Gyms.
According to a Redseer report, beauty and personal care market in India stood at $16 Bn in 2018 and is expected to grow to $22.5 Bn by 2022. The majority of the sale and purchase of beauty and personal care products happen at offline stores, however, with the deeper penetration of smartphones and cheaper internet plans, users have also started buying these products online.
In the online beauty marketplace segment, MyGlamm competes with the likes of Nykaa, Purplle, NewU and other companies. As market opportunities are already present there in the ecosystem, investors have started to bet on these startups which are aiming to provide quality beauty products to their customers.
While Purplle had raised $8 Mn in Series C funding round from Belgium-based investment firm Verlinvest in January 2020, Nykaa had raised $14 Mn (INR 100 Cr) funding from an American private equity firm TPG Growth in April 2019.