L’Oréal invested in Fireside Fund II, the second investment fund managed by Fireside Ventures, a venture fund created in 2017 and focused on consumer brands in India.
WHO: Launched in May 2017, Fireside Ventures is an early-stage venture fund with a focus on consumer brands. Fireside invests in young start-ups and supports them through their evolution by providing in-house resources along with a partner and advisor network. The fund invests in consumer brands across sectors such as food and beverages, personal care, lifestyle, and home products.
In 2018 L’Oréal launched a corporate venture capital fund called BOLD Business Opportunities for L’Oréal Development. The fund takes minority stakes in innovative start-ups with high growth potential investing in new business models in marketing, R&I, digital, retail, communication, supply chain, and packaging. They will also support the start-ups with L’Oréal’s expertise, networking, and mentorship. L’Oréal’s previous investments in the venture capital ecosystem have been Partech Africa, Founders Factory, and Raise Ventures.
L’Oréal India has been present in the country as a wholly-owned subsidiary of L’Oréal S.A. since 1994. Today L’Oréal India is present in all distribution channels with 14 brands, available in mass-market channels (L’Oréal Paris, Garnier, Maybelline New York, NYX Professional Makeup); in hair and beauty salons (L’Oréal Professionnel, Matrix, Kérastase, Cheryl’s Cosmeceuticals, Decleor); and in selective distribution (Kiehl’s, Yves Saint Laurent, Giorgio Armani, Ralph Lauren, Diesel). L’Oréal India employs over 1,600 people across its headquarters in Mumbai, four regional offices, two manufacturing facilities in Chakan (Pune) and in Baddi (Himachal Pradesh), and Research and Innovation facilities in Mumbai and Bengaluru.
WHY: With this investment, L’Oréal will help to support innovative Indian consumer brand start-ups that emerge driven by the country’s dynamic digital ecosystem and new consumer needs, notably of Indian millennials.
IN THEIR OWN WORDS: “India is a strategically important market for L’Oréal and a great place for innovation. With this investment, L’Oréal will further connect to the dynamic ecosystem of Indian startups and work with them on emerging consumer needs to co-create tomorrow’s beauty trends,” said Amit Jain, Managing Director, L’Oréal India.
Kanwaljit Singh, Managing Partner at Fireside Ventures, said, “We are excited to have L’Oréal as a partner in our vision to champion the next generation of beauty entrepreneurs. Together we intend to scout and co-create a new generation of innovative beauty products, built-in India for global consumption and in faster timeframes. We at Fireside understand the highly specific needs of a consumer start-up and hence continue to invest in building an ecosystem of deep domain specialist mentors and strategic partners that can help entrepreneurs to scale. Our partnership with BOLD (Business Opportunities for L’Oréal Development) is a testament to the growing trend in the consumer space in India and our commitment to introduce, mentor and build INR 100 crore brands in the next few years.”
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