Mumbai-based direct-to-consumer (D2C) skincare brand Foxtale has announced the successful raising of $18 million (approximately Rs 150 crore) in its Series B funding round. This latest investment was spearheaded by Singapore-based Panthera Growth Partners, marking a significant milestone for the startup following a two-year gap since its last funding round.
Existing investors Matrix Partners India and Kae Capital also participated in this round, underscoring their continued confidence in Foxtale’s growth trajectory. The financial advisory for the transaction was provided by IndigoEdge, as noted in the company’s press release.
According to startup intelligence platform TheKredible, Foxtale’s valuation post-allotment of the first tranche is approximately Rs 790 crore, or $96 million. Including this latest infusion of capital, Foxtale has raised over $22 million to date. Previous funding rounds included a $4 million pre-Series A round in June 2022 and seed funding in August 2021, both led by Matrix Partners and Kae Capital.
Founded by Romita Mazumdar in 2021, Foxtale has carved out a niche in the skincare market by offering affordable products tailored to Indian skin types. The brand addresses common concerns such as acne, ageing, and hyperpigmentation. Foxtale’s products are available not only on its own website but also on popular e-commerce platforms like Nykaa, Amazon, Blinkit, Flipkart, and Myntra.
The company’s growth trajectory has been impressive. During FY23, Foxtale’s revenue surged to Rs 13.8 crore, a dramatic increase from Rs 20 lakh in FY22. However, this rapid expansion came with increased losses, which grew to Rs 18.59 crore in FY23 from Rs 2.48 crore in the previous fiscal year.
Despite these losses, Foxtale remains optimistic about its financial future. The company closed FY24 with Rs 172 crore in GMV sales, driven primarily by strong performance on its website and a retention rate exceeding 50%. Building on this momentum, Foxtale aims to achieve profitability by FY25.
In a competitive landscape, Foxtale faces off against established brands like Sugar Cosmetics, WOW Skin Science, Plum, MamaEarth, and Minimalist. However, with its recent funding and ambitious growth plans, Foxtale is well-positioned to further strengthen its market presence and continue innovating within the skincare sector.
