ETtechBoston-based asset management firm Fidelity Management & Research Company has invested an undisclosed amount in Indian fashion and beauty marketplace Nykaa through a secondary transaction, providing a partial exit to early investors and employees.
The investment comes nine months after Nykaa raised Rs 166 crore in a primary transaction from Steadview Capital at a valuation of $1.2 billion, which catapulted the eight-year-old company into the coveted Unicorn club.
The company said it had benefitted from the tailwinds caused by the Covid-19 pandemic, with consumers preferring to shop online from the safety of their homes.
This has allowed Nykaa to increase its share in the beauty market, the company said, without disclosing specifics.
Nykaa added that it had clocked revenue of Rs 1,860 crore for the year ended March 31, 2020 and is expecting a 40% growth in consolidated revenue in the ongoing fiscal.
Last month, Nykaa told ET that it expects its new fashion business to top Rs 500 crore in sales in the current fiscal year, a 5X growth over sales in the previous year.
Growth is also being driven by a strong revival of fashion sales during the festive period, it said.
Nykaa has a portfolio of over 300,000 products and partners with more than 1,500 brands.
The investment comes nine months after Nykaa raised Rs 166 crore in a primary transaction from Steadview Capital at a valuation of $1.2 billion, which catapulted the eight-year-old company into the coveted Unicorn club.
“We are very excited to have Fidelity, one of the largest asset managers in the world, to join as partner in our growth journey,” said Falguni Nayar, founder and CEO of Nykaa. “Nykaa’s focus on business sustainability and corporate governance further supports such strong investor confidence.”
The company said it had benefitted from the tailwinds caused by the Covid-19 pandemic, with consumers preferring to shop online from the safety of their homes.
This has allowed Nykaa to increase its share in the beauty market, the company said, without disclosing specifics.
Nykaa added that it had clocked revenue of Rs 1,860 crore for the year ended March 31, 2020 and is expecting a 40% growth in consolidated revenue in the ongoing fiscal.
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Last month, Nykaa told ET that it expects its new fashion business to top Rs 500 crore in sales in the current fiscal year, a 5X growth over sales in the previous year.
Growth is also being driven by a strong revival of fashion sales during the festive period, it said.
Nykaa has a portfolio of over 300,000 products and partners with more than 1,500 brands.
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