Human resources firm Recruit Holdings provided $46m in series D funding for UK-based hair and beauty marketplace Wahanda on Friday, and bought out all the company’s other external investors for $171m.
Recruit acquired a majority stake of 80% in the company, up from a previous 10%. Wahanda’s management team retains the remaining share. The acquisition values Wahanda at approximately $222m.
Founded in 2008, Wahanda operates an online platform that enables consumers to book appointments at more than 12,000 beauty salons and spas throughout Europe. The company claims it has recently been growing at a rate of 300% year on year.
Wahanda’s previous investors include Fidelity Growth Partners Europe, a venture capital unit of financial services firm Fidelity Investments, and merchant bank Lepe Partners, which invested alongside Recruit in a $26m series C round in October 2014.
Fidelity, Wahanda’s lead investor until Friday when it exited, also invested $5.5m in the company in 2011, while seed-stage investment firm Ambient Sound Investments led a $2m series A round in 2008 which also featured venture capital fund 14W and several angel investors.
Wahanda will use the series D funding to support its expansion across Europe. It acquired Germany-based competitor Salonmeister in October 2014 and Austria-based Beautycheck last month, also buying mobile app developer LemonLabs in January this year.
Wahanda plans to expand its activities to a total of eight European countries by the end of June 2015, and to increase its reach to additional markets in future. The company will also hire more staff and advance product developments to support an increase in its customer base.
– This article was updated on May 6 to reflect new information reported by TechCrunch that Recruit bought out the other investors for $171m at a valuation of $222m. The original article stated Recruit had acquired an 80% majority stake in return for $46m.