[Funding alert] Skincare startup mCaffeine raises Rs 42 Cr in Series B round from Amicus Capital, others
Mumbai-based company Pep Technologies, which owns skincare brand mCaffeine, on Monday said that it has raised Rs 42 crore in a Series B round from Amicus Capital, along with RPSG Ventures, and Aman Gupta, Founder of Boat Audio. Its existing investor Telama Investments also participated in the round.
The current round comes after the Series A round ended in June 2019 when it raised $2 million from a group of investors, led by RPSG Ventures.
Sunil Theckath Vasudevan, Co-founder and Partner, Amicus Capital, said, “The startup has demonstrated very healthy unit economics while delivering high revenue growth. We are excited to partner with Tarun and Vikas to scale up mCaffeine with new product offerings and expand the distribution network.”
Tarun Sharma, Co-founder and CEO, mCaffeine, said, “All of the mCaffeine products are envisioned, engineered, designed, and manufactured in India. We strongly believe in ‘Make in India’ and ‘Vocal for local’ to support homegrown enterprises. The products are manufactured after extensive research and development. There are about 20 products in the portfolio so far, and we have aggressive plans to further launch 15-20 products in the next year.”
D2C skincare startup mCaffeine, founded in October 2016, makes caffeine-infused hair and skincare products, which it sells on its website and ecommerce channels like Amazon, Flipkart, and Nykaa. To date, it has sold over 2.8 million products, clocking a turnover of Rs 100 crore in four years of its launch. It expects to clock Rs 500 crore in the next three years.
Abhishek Goenka, Head and CIO, RPSG Ventures, said, “mCaffeine has built a solid differentiation around caffeine-based personal care products, which are demonstrated in its strong growth profile and superior capital efficiency. Our follow on investment is a reflection of our continued confidence in Tarun and Vikas, and resonates well with RPSG Venture’s philosophy of backing its portfolio companies from a long-term perspective.”
Founders Vikas Lachhwani and Tarun Sharma believe caffeine to be a superfood, rich in antioxidants, and has several benefits for skin and hair. mCaffeine has 20 products in its portfolio across three major categories — face care, hair care, and body care.
mCaffeine plans to penetrate the Indian skincare market by emphasising more on premium offerings that are millennial-friendly. Its products are available at 18,000 pin codes across India. The startup also plans to increase its online and offline presence substantially.
Edited by Suman Singh