L’Oreal Invests In DSG Consumer Partners IV Fund: Report

L’Oréal, a French personal care company, has reportedly invested in Singapore-based venture capital firm DSG Consumer Partners IV. It is said that this move will help L’Oréal back early-stage entrepreneurs in the beauty sector as they build next-generation consumer businesses.

According to a Mint report, this marks the company’s second investment in a fund targeting consumer trends in the region, following a 2019 investment in Fireside Fund II, a fund managed by Fireside Ventures to support innovative Indian consumer brand startups. The investment was made through L’Oréal’s corporate venture capital fund BOLD (Business Opportunities for L’Oréal Development), which takes minority stakes in high-growth companies and brands.

“The Southeast Asia and India region has many of the fastest growing, most populous and young demographic markets of the world. The future of consumer brands will largely be shaped in these markets, so it’s important to build a strong connection to its dynamic ecosystem of disruptors and invest in promising consumer brand startups,” said Vismay Sharma, president of L’Oréal South Asia Pacific, Middle East and North Africa, in a statement.

As per available data, L’Oréal currently markets over 500 brands and thousands of individual products in all sectors of the beauty business, and the company owns 36 brands and as of October 4, 2021, the company registered 497 patents. The company had also announced that its Annual General Meeting to be held on Friday 21 April 2023. Earlier this month, the brand has signed an agreement with Natura &Co to acquire Aēsop, the Australian luxury beauty brand. The proposed transaction values Aēsop at an enterprise value of $2.525 billion, as per the brand’s website.

“We are excited to welcome L’Oréal as an investor in our ecosystem, and partner in our mission to invigorate the region’s industry disruptors and most promising startups. Through this fund, we aim to catalyze emerging market consumer innovation by working with entrepreneurs who are addressing new consumer aspirations and needs,” said Deepak Shahdadpuri, managing director (Singapore) of DSG Consumer Partners, said in the statement.