Exclusive: Lightspeed backs EkAnek’s Foxy almost after four years

Foxy, an online store that offers a wide range of beauty, grooming, and cosmetic products, has raised Rs 21.6 crore from existing investor Lightspeed India Partners. This is the first round of investment for the Delhi-based company since September 2020.

Foxy’s parent EkAnek has passed a special resolution to issue 31,638 preference shares at an issue price of Rs 6827.24 each to raise Rs 21.6 crore or $2.6 million, its regulatory filing accessed from the Registrar of Companies (RoC) shows.

The company will use these proceeds for expansion, growth, and general corporate purposes as decided by its board. The round appears to be an ongoing one and Foxy is likely to raise more capital in coming weeks.

According to filings, Foxy also increased its ESOP pool by 7,520 stock options which took its total ESOP pool from 22,137 to 28,627 options.

As per TheKredible’s estimate, the total pool size is worth around Rs 20 crore or $2.4 million and the company has been valued at around Rs 190 crore or $23 million post-money in the fresh round.

Ekanek has raised $21 million to date including a $5.4 million in an extended Series A round led by Alpha Wave and AWI in September 2020. According to startup data intelligence platform TheKredible, Lightspeed India Partners is the largest external stakeholder with 22.4% followed by Peak XV, Alpha Wave, and Matrix Partners.

EkAnek's brand Foxy is a marketplace for beauty, grooming, and cosmetics products. Some notable brands on the platform include Mamaearth, Aqualogica, TheDerma, Garnier, B Blunt, and others.

As per a Mint report, Foxy is shifting its focus to offer consultative services, including skincare advice to customers and its existing backers including Peak XV are expected to pump in $10 million in new round.

Foxy’s revenue from operations grew 3.8X to Rs 36 crore while its losses stood at Rs 28 crore during the fiscal year ended March 2023. The company is yet to file its financial statements for FY24.

Foxy’s early competitor SimSim was acquired by YouTube in July 2021 which shuttered operations in March 2023. Its another competitor BulBul consolidated with The Good Glamm Group.