L’Oréal, the world’s largest cosmetics company, has announced an investment in DSG Consumer Partners IV fund, a leading venture capital firm focused on early-stage consumer businesses. The investment is part of its broader strategy to support innovative startups and disruptive technologies in the beauty and personal care sector.
The DSG Consumer Partners IV fund, which closed in December 2020 with commitments of $65 million, invests in early-stage consumer brands in India and Southeast Asia. The fund is managed by DSG Consumer Partners, a Singapore-based venture capital firm that has invested in several successful consumer brands, including Chope, HappyFresh, and Raw Pressery.
Its investment in the DSG Consumer Partners IV fund will give the company access to a pipeline of innovative consumer brands in key growth markets. The investment will also enable its to support and mentor emerging entrepreneurs in the beauty and personal care sector, and to leverage its extensive industry expertise to help these startups scale and succeed.
Commenting on the investment, L’Oréal’s Chief Digital Officer, Lubomira Rochet, said: “Our investment in the DSG Consumer Partners IV fund reflects our commitment to supporting innovation and entrepreneurship in the beauty and personal care sector. By partnering with DSG, we can identify and nurture emerging brands that have the potential to disrupt the industry and deliver new solutions for consumers.”
Rochet added: “As the world’s largest cosmetics company, L’Oréal has a responsibility to drive innovation and lead the industry forward. Our investment in DSG Consumer Partners IV is just one example of our commitment to this mission, and we look forward to working closely with DSG to identify and support the most promising startups in the sector.”
DSG Consumer Partners’ founder and Managing Director, Deepak Shahdadpuri, said: “We are delighted to welcome L’Oréal as an investor in our fund. L’Oréal is a world-renowned beauty and personal care company with a strong track record of innovation and entrepreneurship. We believe that L’Oréal’s extensive industry expertise and global network will be invaluable to our portfolio companies as they seek to scale and grow.”
Shahdadpuri added: “We are excited to work with L’Oréal to identify and mentor the most promising startups in the beauty and personal care sector. Together, we can drive innovation and deliver new solutions for consumers in India and Southeast Asia.”
The investment in DSG Consumer Partners IV is part of L’Oréal’s broader strategy to support innovative startups and disruptive technologies in the beauty and personal care sector. In recent years, the company has launched several initiatives to identify and support emerging entrepreneurs, including the L’Oréal Innovation Runway program, which provides funding and mentorship to early-stage startups in the beauty sector.
L’Oréal has also invested in several other venture capital firms and startups, including Partech, Founders Factory, and ModiFace. The company has also made strategic acquisitions, including the purchase of ModiFace, a leading augmented reality and artificial intelligence company, in 2018.
The investment in DSG Consumer Partners IV is likely to benefit both L’Oréal and the startups in the fund’s portfolio. For L’Oréal, the investment provides access to a pipeline of innovative consumer brands in key growth markets, while for the startups, it offers the opportunity to leverage L’Oréal’s extensive industry expertise and global network to accelerate growth and scale. As part of the fund, L’Oréal will join a consortium of investors from India and Asia Pacific, offering its strong regional presence and relationships in addition to financing. This combination of capital, expertise, and access to markets will help these startups realise their full potential.
In conclusion, L’Oréal’s investment in the DSG Consumer Partners IV fund is a significant development that highlights the company’s commitment to supporting innovation and entrepreneurship in the beauty and personal care sector.
