International funding group Eurazeo invested $53 million in Pangaea Holdings for a minority funding within the Los Angeles e-commerce firm rooted in creating premium men’s personal care manufacturers.
The funding is an element of a bigger $68 million spherical that features $15 million in Sequence B funding from a gaggle of backers including Unilever Ventures and GPO Fund and current buyers Base10 Companions and Gradient Ventures. This brings the corporate’s complete funds raised to $87 million for the reason that firm was based by Richard Hong and Darwish Gani in 2018.
Harlem Capital’s Henri Pierre-Jacques invested in each Pangaea’s seed spherical in 2019 and Sequence A in 2020. He’s recognized Gani since faculty and labored with Hong over the previous two years, calling the pair “one of the crucial data-driven and founder market matches I’ve seen.”
“On the seed stage, the enterprise was already a seven-figure enterprise and has continued to see astonishing progress,” he added. “Pangaea, to this point, has been a model incubator, however submit the Sequence B will increase to be a vertically built-in e-commerce platform for different manufacturers. We’re much more excited for this subsequent part of their progress.”
Hong began Pangaea with the launch of men’s skincare model Lumin that accommodates pure Korean-based formulations. Actually, he was amongst a gaggle of individuals residing collectively in an condominium utilizing Korean magnificence merchandise and hiding it from their roommates, Gani advised TechCrunch.
Gani later joined Hong as a co-founder to scale the enterprise, as they realized there was an even bigger alternative for international e-commerce.
“Males are literally into skincare, however not as comfy speaking about it,” Gani mentioned. “For Richard, he got here from a spot the place skincare was extra culturally accepted. His concept was to supply high-quality merchandise, however offered in a means that individuals can perceive their use and assist them to kind a behavior.”
Pangaea ended up developing proprietary infrastructure, including warehousing, funds and delivery, as a holding firm to develop and scale direct-to-consumer manufacturers. It’s newest model, Meridian, providing grooming merchandise, launched in 2020. Merchandise at the moment are promoting in additional than 70 nations.
Although headquartered in Los Angeles, the corporate is mainly distant, with greater than 300 staff throughout its main hubs in LA, Lagos, Nigeria, Singapore and Europe.
The corporate is already money movement constructive, and the brand new funding will allow Pangaea to spherical out management roles in its manufacturers and attain the following stage of progress with the aim of being “omnichannel male megabrands,” Gani mentioned. The corporate can be investing in extra product classes, new manufacturers and doubtlessly licensing its proprietary software program.
Gani mentioned he’s excited to work with Eurazeo, which he known as “consultants in constructing and scaling shopper manufacturers.” The agency will work with Pangaea to proceed developing the Lumin and Meridian manufacturers and speed up its worldwide growth.
Jill Granoff, Eurazeo’s managing companion and types CEO, mentioned in a written assertion that the corporate “is well-positioned for future progress.”
“Richard and Darwish have launched a platform and merchandise that tackle a big want in a sexy, rising market,” Granoff added. “The crew has achieved spectacular ends in a brief time frame throughout geographies and classes, demonstrating sturdy product enchantment to international customers. They’ve additionally constructed a extremely scalable expertise that may assist future model improvement.”