Omnichannel beauty company SUGAR Cosmetics announced on Tuesday that it has closed a Series D funding of $50 million, led by Asia fund of L Catterton, consumer-focused private equity firm. The company stated that the upsized round saw strong interest from multiple private equity funds, along with continued interest from existing backers, A91 Partners, Elevation Capital, and India Quotient.
SUGAR, known to be popular among Gen Z and millennials, aims to further capitalise on its growth momentum in the rapidly increasing beauty and personal care market.
The company stated that the country’s beauty and personal care market has expanded considerably over the past 5 years, and is expected to reach approximately $21 billion in 2025. It added that the rising adoption of online shopping and greater product penetration in secondary cities are also driving the market’s enlargement.
SUGAR stated that it has quadrupled sales over the past 5 years. It added that it deploys new-age, impact-focused content marketing to develop lasting emotional connections.
The cosmetics company stated that its proliferation of online shopping and the creation of a robust local ecosystem of offline distribution partners has enabled it to attract customers from metros to Tier I and II cities.
Chief Executive Officer Vineeta Singh said, “At SUGAR, we are devoted to creating innovative products that meticulously cater to the preferences of women with diverse skin tones and types who believe in expressing themselves with high-quality cosmetics and skincare products that complement their inner beauty. L Catterton shares our ethos of truly understanding what matters most to consumers, and my co-founder Kaushik and I are thrilled to welcome the firm as our partner,” further adding that the investor’s brand-building and value creation capabilities will fortify its growth.
Anjana Sasidharan, L Catterton Asia Managing Director said, “We have been impressed with how SUGAR has sustained its momentum of rapid growth across online and offline channels while maintaining healthy operating metrics… With a product-first mindset and deep understanding of their target consumers, SUGAR’s leadership team has established a strong position in India’s cosmetics market, which is at an exciting inflection point of expansion.”
SUGAR Cosmetics is rapidly scaling its physical presence with over 40,000 retail outlets across over 550 cities.
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