D2C Skincare Brand Foxtale Raises $14 Mn from Matrix Partners and Others

D2C Skincare Brand Foxtale Raises $14 Mn from Matrix Partners and Others

Foxtale, a D2C skincare brand, has mopped up INR 119.5 crore in a new round from Matrix Partners, Panthera Growth Partners (PGP) and Kae Capital. For this Mumbai-based company, this is the first funding round in 2024 and the second in the past two years. In the pre-series A round, the company raised $4 million from Matrix and Kae Capital in June 2022 and a seed round in August 2021. 

Foxtale, founded by Romita Mazumdar in 2021, is a low-budget skincare brand that launched four basic products. The portfolio of the startup covers acne control, anti-ageing, and moisturisation among others. As per the startup news by the startup data intelligence platform TheKredible, the three-year-old firm has been valued at approximately INR 790 crore or $96 million. 

In the last accounting year, the firm showed massive growth and posted INR 13.8 crore in operating revenue against INR 20 lakh in FY22. However, the company also faced a loss that raised 7.5-fold to INR 18.49 crore during the fiscal year ending March 2023 compared to INR 2.48 crore in FY22. 

In FY24, the firm claimed that it hit break even in Q2 and planned to become an INR 1,000 crore brand in the next five years. The competitors of Foxtale are WOW Skin Science, Minimalist, Sugar Cosmetics, Plum, MamaEarth and more. This funding round is good news for the D2C skincare ecosystem, which didn’t show much funding in the past year. 

Thought of YFS on Foxtale’s Funding Story

This startup industry news is a great one for the D2C skincare industry, which found it difficult to gain the investor nod last year. While the latest funding will help Foxtale boost its operational revenue, the D2C skincare brand hopes to curb the losses too with the same. Your First Startup (YFS) reckons exciting times ahead for Foxtale and other companies in this space.