Foxy, a prominent online marketplace offering a wide array of beauty, grooming, and cosmetic products, has successfully secured Rs 21.6 crore in funding from its existing investor, Lightspeed India Partners. This marks the company’s first investment round since September 2020.
The funding comes through a special resolution passed by Foxy’s parent company, EkAnek, to issue 31,638 preference shares at an issue price of Rs 6827.24 each. Regulatory filings from the Registrar of Companies (RoC) confirm the total raised amounts to approximately $2.6 million.
The newly acquired capital will be allocated towards expansion, growth, and general corporate purposes, as decided by Foxy’s board. Indications suggest this round is ongoing, with expectations of the additional capital influx in the coming weeks.
In conjunction with the funding, Foxy has expanded its Employee Stock Option Plan (ESOP) pool by 7,520 options, increasing the total from 22,137 to 28,627 options. This move aligns with the company’s efforts to attract and retain top talent as it scales.
EkAnek, the parent company of Foxy, has cumulatively raised $21 million to date. This includes a notable $5.4 million in an extended Series A round led by Alpha Wave and AWI in September 2020. Among its investors, Lightspeed India Partners holds the most significant external stake at 22.4%, followed by Peak XV, Alpha Wave, and Matrix Partners.
Foxy’s platform hosts an impressive lineup of brands, including Mamaearth, Aqualogica, TheDerma, Garnier, and B Blunt, making it a comprehensive destination for beauty and grooming enthusiasts.
In a strategic shift, Foxy is enhancing its offerings to include consultative services, such as personalized skincare advice. This evolution in service is supported by its current backers, including Peak XV, who are anticipated to inject an additional $10 million in upcoming rounds.
Financially, Foxy demonstrated significant growth with a 3.8X increase in revenue from operations, reaching Rs 36 crore for the fiscal year ending March 2023. However, the company reported losses of Rs 28 crore for the same period. Financial statements for FY24 are yet to be filed.
The competitive landscape has seen shifts, with early competitor SimSim being acquired by YouTube in July 2021 before ceasing operations in March 2023. Another competitor, BulBul, has consolidated with The Good Glamm Group, further positioning Foxy as a key player in the market.
With fresh capital and strategic expansions, Foxy is poised to solidify its market presence and continue its growth trajectory in the dynamic beauty and grooming sector.
Sachin Singhal Co-founder & COO, Chandranshu Sinha Co-founder & CTO, Kartik Sheth Co-founder & CEO, Nikhil Gilani Co-Founder
