Darling of the indie A-beauty brands frank body has been valued at approximately $100 million AUD after a recent investment round closed with Private equity firm EverYi Capital. The China-based firm is an ideal partner for frank body’s growth plans. “The funding will expand frank body’s Asian footprint over the next three years,” says frank body Co-Founder and CEO, Steve Rowley. “This will include building a localised team in Shanghai, developing go-to market strategies and supporting a partnership with Australian retailer Mecca, who recently entered the region through Tmall.”
Rowley says “We’re delighted to welcome EverYi Capital to frank body. This partnership is an important next step in our globally present, locally relevant strategy, enabling us to bring our accessible, affordable and effective clean beauty and personal care products to an important audience. Having a local operational partner gives us insight and support to grow in what we anticipate will be one of our core future markets. EverYi Capital shares both our passion for the consumer and our values around clean, accessible beauty and personal care products.”
The brand has had a meteoric rise over eight years, since its founding by five friends with a combined investment of $5,000 to create a “humble coffee scrub” in 2013. It is now a major player in the growing premium-yet-affordable beauty market with its coffee-infused offering of 40 SKUs (and growing). It’s currently in both the US and UK as well as Australia, with the US being its largest market. 50% of the brand’s 2020 revenue was generated in the US market, where it’s stocked in Target, Urban Outfitters and other retailers, as well as available D2C. It has also seen 50% year-on-year growth in its home market of Australia.
“We always have, and always will be cruelty-free, it’s a non-negotiable for frank body”, says Rowley, and as of 1 May general cosmetic products will be exempt from animal testing their import goods into China, which was not the case previously.
Manufacturing and innovation of frank body products will continue from Australia and the US, and will always remain cruelty-free, not testing its products or ingredients on animals. The investment coincides with news China will begin relaxation of animal testing requirements on May 1, 2021. frank body will continue to only invest in commerce channels that do not require animal testing.
Information on the deal also confirmed that the original founders maintain their controlling interest. “frank body is independently owned and operated, with Co-Founders Steve Rowley, Bree Johnson, Jess Hatzis and Alex Boffa retaining their controlling interest. EverYi Capital Managing Partner, Susan Shui-Shien Lin will join the frank body Co-Founders and Unilever Ventures on the board. frank body mandated that its board will always be led by a minimum of 50% female representation.”
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