[Funding alert] What does GIC's investment in WOW Skin Science mean for Indian D2C brands
Bengaluru-based D2C brand WOW Skin Science has raised funding from Singapore's Sovereign Wealth Fund - GIC. While the amount is undisclosed, sources confirm the amount to be $70 million.
D2C beauty and wellness brandis raising primary growth capital from Singapore's sovereign wealth fund - GIC. The brand had earlier raised Rs 375 crore from ChrysCapital in April 2021. An investment of a sovereign wealth fund in a mid sized company signals the growth of a segment.
While the amount of funding was undisclosed, sources in the know confirm the funding to be a little over $70 million.
Speaking of the funding, founder Manish Chowdhary told YourStory, "It is a recognition that the business model is strong and futuristic. With a large heavy weight like GIC coming on board, it is a signal that a D2C brand like ours is going to build and create something big."
He explained that this also shows how commerce will look like in the future. Manish added, "GIC is the closest partner we can have that can match our ethos, point of view, and values. We too believe in strong and high governance and are looking to build something sustainable and long term. We are humbled as a heavy weight like GIC doesn’t come in mid-sized companies and them backing us is great for us."
Established in 2014, WOW Skin Science was born out of passion and vision to be pure and natural, backed by research and science, inspired by the beauty and wellness traditions from both East and the West. The brand claims to be a pioneer in launching innovative and toxin-free products across natural ingredients such as Onion Seed Oil, Vitamin C, Apple Cider Vinegar, Ubtan, and Omega 3, amongst others.
WOW Skin Science had previously said it is taking steps in sustainable packaging by reducing plastic usage and spreading awareness in the society through its green-hands initiative of shipping 1 crore seeds and making customers partners in their sustainability mission.
Ashish Agrawal, Managing Director, ChrysCapital, said:
“ChrysCapital is delighted to welcome GIC onboard the growth journey of WOW Skin Science as it scales multi fold to a formidable house of brands in beauty and personal care. We continue to be extremely confident of the strong brand resonance among the millennials and the outstanding team at the helm to make WOW one of the most loved D2C brands globally.”
Raising funding in times like this can be quite effective, especially when larger fund houses are tightening their purse strings. Speaking of how important this funding is for the ecosystem at large, Manish says,
"Good business will invite great partners and funding, and be true to what we are creating. We have seven to eight years of credibility. I believe assets and businesses like ours will continue to invite investment. I am a strong believer that India will continue to surprise global peers, and there are great opportunities for investors. We also realise that getting a good partner is extremely critical, so I would advice entrepreneurs to have good partners onboard and start thinking long term. The market will be volatile in the interim, but there also is great opportunity for investors."
WOW Skin Science intends to invest the latest funding in brand building and talent resourcing across key functions and accelerate the innovation pipeline with a mix of organic launches and strategic inorganic investments with a vision to grow into a House of Loved Brands.
"We aim to now build a pyramid of brands that can help the end consumer in every way and form. What we can build, we will, and what we can acquire, we will do so," says Manish.
Edited by Megha Reddy