D2C Wellness Startup Scentials Secures Funding
Scentials, a direct-to-consumer wellness startup, has successfully secured Rs 34.6 crore (approximately $4 million) through a combination of debt and equity financing. This fundraising round was spearheaded by Indus Way Emerging Market Fund, with contributions from TIW Private Equity.
As per the regulatory filing obtained from the Registrar of Companies, the board at Scentials has approved a special resolution to issue 89,200 Series A1 Compulsorily Convertible Preference Shares (CCPS) and 18,59,000 optionally convertible debentures. These instruments are essential for raising the total amount of Rs 34.6 crore or $4 million.
Indus Way Emerging Market Fund played a significant role in this funding round, contributing Rs 32 crore, while TIW Private Equity added Rs 2.6 crore. The company intends to use the funds to support its growth strategies and enhance its financial stability.
This investment marks a return to fundraising for the Mumbai-based company after a four-year interval. To date, Scentials has raised approximately $10 million, which includes a prior investment of $6 million in 2021 from TIW Private Equity.
Established in 2017, Scentials focuses on the design, development, manufacturing, and distribution of consumer products spanning categories such as deodorants, fragrances, and skincare, all backed by various celebrity brands.
As Scentials has yet to release its annual financial statements for FY24, it is worth noting that the company experienced a 20.5% year-on-year decline in revenue, which fell to Rs 18.22 crore in FY23 from Rs 22.92 crore in FY22. Additionally, Scentials reported a loss of Rs 38.46 crore in FY23.
