In a recent funding round, Foxtale, a direct-to-consumer skincare brand, has secured Rs 119.5 crore (approximately $14 million) from investors including Panthera Growth Partners (PGP), Matrix Partners, and Kae Capital. This marks the first funding round for the Mumbai-based company in 2024 and the second in the past two years.
Foxtale had previously raised $4 million in a pre-Series A round from Matrix and Kae Capital in June 2022, following a seed round in August 2021. Founded by Romita Mazumdar in 2021, Foxtale is a budget-friendly skincare brand offering a range of products, including those focused on anti-aging, acne control, and hydration.
As per insights from the startup data intelligence platform TheKredible, Foxtale, a three-year-old company, is now valued at approximately Rs 790 crore or $96 million post-allotment of the new round.
Foxtale demonstrated rapid growth in the last fiscal year, posting Rs 13.8 crore in operating revenue, a significant increase from Rs 20 lakh in FY22. However, the company reported a 7.5-fold increase in losses, reaching Rs 18.49 crore in the fiscal year ending March 2023 compared to Rs 2.48 crore in FY22.
Foxtale has stated that it achieved break-even in Q2 of FY24 and has ambitious plans to become a Rs 1,000 crore brand within the next five years.
Competing with well-established players such as Sugar Cosmetics, WOW Skin Science, Plum, MamaEarth, Minimalist, and others, Foxtale’s funding comes as positive news for the direct-to-consumer skincare ecosystem, which has seen limited funding activities in the past year. While Sugar Cosmetics has been aiming for around $100 million in secondary and primary capital, the deal is still pending materialization.
