NYKAA IN TALKS WITH SOFTBANK TO RAISE UP TO $200 MILLION

MUMBAI: Nykaa, the online retailer of fashion and beauty products, is in early talks with Japan’s Softbank to raise $150200 million, according to two people aware of the development.

The latest funding round, if it goes through, will take Nykaa’s valuation to anywhere from $700 to $800 million.

It will also be the first foreign investment into the company, which has so far raised capital only from Indian funds and investors.

Nykaa, founded in 2012 by former investment banker Falguni Nayar, started as a multibrand online beauty retailer but has since grown to offer products via mobile app and even brickand-mortar stores. The company claims to offer over 80,000 products across 700 brands on its online portal. It also has about 20 offline stores and expects to touch about 50 stores within the next two years. Often termed India’s Sephora (the French multi-brand cosmetics retailer), Nykaa sells make-up, skincare, hair care, fragrances, bath and body, luxury and wellness products for women and men.

For the year ended March 2018, Nykaa posted revenue of ₹570 crore, up from ₹214 crore in the previous year. The firm expects to more than double its revenue in the current financial year.

Softbank declined to comment. Nykaa did not respond to

query.

Mint’s