DTC body care brand Maëlys receives investment from Norwest

Dive Brief:

As DTC brands look to fund their growth, Maëlys, a direct-to-consumer body care brand, has received an undisclosed amount of capital from the international investment firm Norwest, the company announced on Monday. PitchBook estimates the funding round at $30 million, according to details emailed to Retail Dive.
The funding will enable the company to grow globally, introduce new products, scale up its operations to meet higher consumer demand and hire more employees, according to the announcement.
Sonya Brown, a general partner at Norwest, is joining the brand's board of directors. Through its minority investment, Norwest joins other shareholders including the company's founders, Barinboim Group and Leumi Partners.

Dive Insight:

Maëlys plays in the popular beauty space, providing a range of personal care products from anti-wrinkle serum to belly firming creams to lift and firm women's bodies. The brand noted that it has cultivated an international customer base of women, particularly young mothers and millennials.

That loyalty seems to have brought both revenue and investor interest. The company said its revenue run rate is $100 million, indicating 400% growth year over year. That has interested Norwest, which besides Maëlys has invested in other notable DTC brands such as Casper, Kendra Scott and Madison Reed.

"We are in a unique position to cement our place as the leader in the body care market by introducing a one of a kind product innovation pipeline, utilizing a data-driven approach, while also building a strong following," Maëlys CEO Rom Ginzburg said in a statement. "We look forward to working alongside Norwest, as their deep knowledge in the consumer space makes them the ideal partner for us."

Maëlys also operates in a hot category right now. Since the COVID-19 pandemic has pushed people to socially distance, homebound consumers have turned their attention to skincare and personal care products. Some of the top emerging DTC brands right now are in the beauty space, including Mented, Olive & June, and FaceTory.

In response to that demand, other companies like Ipsy and Native have introduced skincare products this year. Like Norwest, other investors have become interested in skincare and personal care brands, but it remains to be seen which startups can successfully scale.