Beauty brand RENÉE Cosmetics raises Rs 100Cr in funding led by existing investors

Beauty brand RENÉE Cosmetics has raised Rs 100 crore in an extended Series B funding round led by existing investors Evolvence India and Edelweiss Group.

The funding boosts RENÉE Cosmetics' valuation, which is now estimated to be between Rs 1,300 and 1,400 crore or $155 and $170 million. This represents a 60% premium from its last valuation when the startup raised $25 million in December 2022.

To date, It has raised a total funding of $46 million across three rounds.

What does RENÉE Cosmetics do?

Founded by Aashka Goradia Goble, Priyank Shah, and Ashutosh Valani, RENÉE Cosmetics offers a diverse range of products, including eye makeup, lip colours, skin serums, and highlighters.

The brand sells its products through major e-commerce platforms like Amazon, Flipkart, Nykaa, and Myntra, as well as through over 1,200 shop-in-shop stores across India. 

Additionally, It has an online beta presence in the US, UAE, and Australia, and plans to further expand its product portfolio and market reach with the new funding.

Leadership comments

"Our goal is to set new industry standards and create a positive impact on our customers and the beauty industry. This funding round will enable us to push the boundaries of beauty innovation and reach new heights in delivering products that encourage and celebrate diverse beauty," said Ashutosh Valani.

Shah added, "With this investment, we can introduce a more extensive product portfolio, making RENÉE a one-stop destination for all your beauty needs. We want to increase our omnichannel presence as we are poised to become a leading force in the Indian beauty industry and a global symbol of inclusivity and innovation."

Abhishek Chandra, Managing Director, and Ajit Kumar, Managing Partner at Evolvence India, commented, "This investment fuels their vision of becoming a disruptive force by offering a wider range of high-quality products accessible through all channels. We believe RENÉE's growth potential aligns perfectly with our investment strategy, and we're excited to be a part of their journey."

Is it profitable?

RENÉE's total revenue grew by 210% to Rs 100.4 crore in FY23, up from Rs 32.4 crore in FY22. However, the company's losses also increased by 340% to Rs 32.6 crore during the same period.

Despite the increase in losses, the company is optimistic about its future growth, aiming to reach Rs 500 crore in revenue by 2024. It competes with established beauty brands like Lakmé and startups such as Sugar Cosmetics and MyGlamm.