L’Oréal’s China Fund Makes First Investment in Chinese Fragrance Brand Documents – WWD

L’Oréal’s China Fund Makes First Investment in Chinese Fragrance Brand Documents – WWD

SHANGHAI — L’Oréal’s China Fund, Shanghai Meicifang Investment, has taken a minority stake in Chinese perfume model Documents.

This is Meicifang’s first funding in the China market.

Meicifang’s minority stake marks the closing of Documents’ Series A spherical funding of greater than $10 million renminbi, or $1.4 million. Cathay Capital’s Consumer Co-Creation Fund additionally led this spherical of funding.

The information was unveiled throughout Shanghai May 5 Shopping Festival’s Global New Products Debut Season occasion at this time, in line with native media experiences.

“Documents just isn’t solely an rising pioneer in the Chinese high-end personalised magnificence market, but additionally a Chinese perfume model fashionable amongst younger Chinese buyers for its signature oriental aesthetics,” Fabrice Megarbane, president of L’Oréal North Asia and CEO of L’Oréal China, informed native media retailers.

Founded in 2021 by former Nudake China chief government officer Zhaoran Meng, Documents is thought for its “chanku,” or “zen and funky” aesthetic and avant-garde retailer design.

Dubbed “the most costly Chinese fragrance model,” Documents targeted on high-end fragrance that includes Chinese elements corresponding to star anise, mugwood, yulan magnolia and walnut. Perfume costs vary from 850 renminbi, or $122, to 1750 renminbi, or $253.

The model’s clientele is made up of 60 to 70 p.c Gen-Z buyers, the perfume-maker beforehand informed native media retailers.

Documents operates two shops in Shanghai and one store at Beijing’s fashionable SKP-S shopping center.

According to Meng, Documents will use the funding to deal with expertise acquisition, product improvement, enterprise operations, international enlargement and grow to be “a global model.”

Established this May, Meicifang is the world’s largest beauty-maker’s first China-specific enterprise capital fund. The fund is supported by BOLD, Business Opportunities for L’Oréal Development, a fund targeted on taking minority stakes in start-ups with excessive progress potentials.

Before the institution of Meicifang, L’Oréal acquired Chinese skincare model Mininurse in 2003 and wonder model Yuesai in 2004.

https://wwd.com/business-news/mergers-acquisitions/loreals-china-fund-first-investment-chinese-fragrance-brand-documents-1235315971/

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