Uncover, an emerging beauty brand in Africa, has closed an oversubscribed $1.4 million Seed II funding round.
The round was co-led by EQ2 Ventures and IgniteXL Ventures, with additional participation from Chui Ventures, Samata Capital, and Altree Capital.
To meet high investor demand, Uncover also facilitated a significant secondary transaction as part of the funding round.
EQ2 Ventures, a Dubai-based investment firm, focuses on innovative B2B and B2C tech-enabled businesses across the Middle East and Africa.
IgniteXL Ventures, based in Silicon Valley, is a global fund dedicated to fueling innovation at the intersection of health, technology, and consumer experiences.
IgniteXL Ventures had previously participated in Uncover’s seed round and has now co-led this latest round. Chui Ventures, an Africa-based investment company, backs exceptional African startups in their early stages of growth.
The African beauty market, according to McKinsey’s 2023 global beauty report, is the world’s fastest-growing, expanding at twice the global average.
The continent is projected to have the largest youth population within the next 15 years, yet the market has been underserved in both products and knowledge.
While multi-nationals focus on imports or niche brands, Uncover listens to its customers and leverages data and technology to disrupt this rapidly growing market.
With a loyal and highly engaged digital community of over 200,000 women across Kenya, Nigeria, and the diaspora, Uncover has grown its revenue tenfold in the last 24 months since its previous funding round.
This growth was driven by successful expansion into Nigeria, the launch of new data-driven products designed specifically for melanin-rich skin, and investments in their tech platform.
The cross-pollination between online and offline is critical to scaling within the African beauty market. Uncover leverages an omnichannel approach: Online, building a strong consumer tech platform driven by data to ensure optimal product discovery, customer education and personalised offering. Offline, the company has built partnerships with top retailers to drive visibility, trust, and availability.
The round brings together global and local investors to support the Uncover Team in their plans to further build their tech platform, launch new products, expand to new markets and continue to leverage data to build the leading skincare brand made with melanin-rich skin in mind.
Uncover has seen demand for its products not only from Africa but also from diaspora populations globally and is actively working on partnerships in key diaspora markets in North America.
Patrick Thiriet from EQ2 Ventures said: “We’ve been following Uncover since the early days, and I must say we kept on being impressed by Sneha and Jade. As investors in several consumer-tech businesses over the last 8 years, we’ve rarely seen such a combination of clarity in the vision and maturity in the execution.
We believe Uncover’s team has what’s required to build a leading skincare & beauty brand for Africa and are looking forward to helping them in this journey.”
Claire Chang from IgniteXL Ventures said: “We are incredibly impressed with Uncover’s use of data and technology to understand their core customer’s needs. By adopting a data-centric approach, Uncover has built one of Africa’s most engaged, loyal digital communities. Africa’s beauty and wellness sector is poised for substantial growth and Uncover is disrupting the sector with the first brand made by and for women in Africa.”
Sneha Mehta, co-founder and CEO of Uncover said, “Uncover is much more than a skincare brand. We are a movement to prioritize women of colour who have been side-lined by the beauty industry for generations. The industry has represented only a few skin tones in testing and we are one of the first brands testing on women in Africa. Our data-driven products combined with a tech platform-focused personalisation have fueled the company’s growth. What’s exciting is that we are starting in Africa but seeing global demand and opportunity for our solution.”
Jade Oyateru, co-founder and COO of Uncover said, “We are delighted to partner with a remarkable group of investors who share our vision for the future of women’s skincare and wellness, both on the continent and beyond. They bring a wealth of experience in this industry. This funding will empower us to unlock our next stage of growth, expand our product portfolio, enhance our technology, and reach even more consumers seeking personalized skincare solutions.”
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