Beauty tech and discovery startup Kult has secured $20 million (Rs 170 crore) in Series A funding, led by the M3M Family Office, with additional backing from investment firm Venture Catalysts.
Payal Kanodia of the M3M Family Office said, “The brand was started by Karishma Singh and Ruchika Pallavi and we met the team and decided to partner with them not just as an investor but for growth as well. We will raise more fund and the target is to take the valuation to Rs 5,000 crore within 12 months,”
Kult is currently in discussions with several international brands to bring exclusive offerings to its platform, complementing the wide range of products already available across multiple marketplaces.
Aishwarya Bansal of the M3M Family Office, said, “The beauty segment is growing and consumer is more aware now than ever. We have no plan to go offline as of now and the initial focus is to capture ecommerce business.”
India’s beauty and personal care (BPC) market is anticipated to expand at a CAGR of 10%, reaching a value of $30 billion by 2027. Within this, the online BPC segment is expected to hit $10 billion.
Kult, a tech-driven beauty platform, uses artificial intelligence to offer tailored skincare suggestions. Its visually engaging catalogue features products that cater to the diverse skin tones across India, simplifying the discovery process.
Earlier this year, skincare brand Deconstruct raised Rs 65 crore in funding from investors including French beauty conglomerate L’Oréal, V3 Ventures, and DSG Consumer.
Currently, focused beauty brands such as L’Oréal, Mamaearth, Nivea, and Nykaa collectively hold a 33% share of the market, with projections to grow to 42% within the next five years.
Previous reports indicated that Hindustan Unilever (HUL) explored the acquisition of D2C beauty brand Minimalist, with a potential valuation of Rs 3,000 crore.
However, traditional players like HUL and Procter & Gamble, which currently command around two-thirds of the market, are expected to see their combined share dip by 900 basis points to 58% by 2027, as per a report by Redseer Strategy Consultants and Peak XV Partners.
Other emerging players in the space include Sugar Cosmetics, Plum, and Foxtale.
Ready to invest like a pro? Unicorn Signals app equips you with 100+ Free tools and knowledge you need to succeed. Download the Unicorn Signals app and gain access to daily stock lists and insightful market analysis and much more!
