AAA Harry’s handles $112m in funding

Harry’s handles $112m in funding

Harry’s, the US-based razor retailer backed by beauty product distributor Grace Beauty, has secured $112m in funding from investors including Singaporean state-owned investment firm Temasek, the New York Times has reported.

Private equity firm Alliance Consumer Growth also took part in the round, as did undisclosed existing investors, according to the Times, though CNBC identified Tiger Global Management and Wellington Management as participants.

Harry’s sells razors and accessories through an online-based subscription model that mails products to a user’s home, charging them a flat rate per blade while allowing them to select the frequency at which they are sent.

The company claims to combine high quality with an affordable price, and it will use the latest funding to introduce new products, expanding the business model from men’s grooming to baby products, household goods and personal care items for men and women.

The expansion will be supported by strategic investments in other consumer items brands, beginning with a minority stake in Hims, which sells health products that treat men’s hair loss, skin and sexual dysfunction.

Jeff Raider, co-founder and co-chief executive of Harry’s told, the Times: “We have built a lot of infrastructure at Harry’s that we think we can leverage into new categories.

“It is something that we have been excited about for a long time, and we are now at a point in our business where we can act on it.”

The round increased the company’s overall funding to approximately $400m. Grace Beauty’s corporate venturing subsidiary, Grace Beauty Capital, has not revealed when it invested but lists Harry’s as a portfolio company on its website.

Harry’s raised $75.6m in a 2015 series C round led by Wellington Management that included Tiger Global, valuing it at $750m post-money according to Forbes. Thrive Capital, Highland Capital and SV Angel are also among the company’s earlier investors.

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