- Uncover eyes new markets in Africa with the fresh injection of capital.
- Founded in Kenya three years ago, Uncover has since expanded into Nigeria, Uganda, and recently to Ghana, with plans underway to expand to the Democratic Republic of Congo (DRC).
- At the moment, the African beauty market is the world’s fastest-growing segment.
Skincare startup Uncover has successfully closed a $1.4 million Seed II funding round, a fresh injection of capital that will see the company expand its footprint across Africa.
“The industry has represented only a few skin tones in testing and we are one of the first brands testing on women in Africa. Our data-driven products combined with a tech platform-focused personalization have fueled the company’s growth. What’s exciting is that we are starting in Africa but seeing global demand and opportunity for our solution,” explained Sneha Mehta, Co-Founder and CEO of Uncover.
According to Uncover, this financing round was led by Dubai-based investment company EQ2 Ventures, Silicom Valley global fund IgniteXL Ventures, with participation from Chui Ventures, Samata Capital and Altree Capital.
As part of the round, Uncover said it also facilitated a significant secondary transaction to accommodate investors’ demand.
Dubai based EQ2 Ventures has a reputation of investing across innovative B2B and B2C tech-enabled businesses in the Middle East & Africa while IgniteXL Ventures, is a global fund dedicated to fueling innovation at the intersection of health, technology, and consumer experiences.
IgniteXL Ventures participated in the seed round and has followed-on to co-lead the company’s round. Chui Ventures is an investment company that backs exceptional African startups at the early stage of their growth.
Skincare startup Uncover attracts global and local investors
The latest funding round brought together global and local investors to support the Uncover team in their plans to further build their tech platform, launch new products, expand to new markets and continue to leverage data to build the leading skincare brand made with melanin rich skin in mind.
According to a market update by Uncover, the company is witnessing a rise in the demand for their products not only from Africa, but also from diaspora populations globally and is actively working on partnerships in key diaspora markets in North America.
Founded in Kenya three years ago, the skincare company has since expanded into Nigeria, Uganda, and recently to Ghana, with plans underway to expand to the Democratic Republic of Congo (DRC).
At the moment, the African beauty market is the world’s fastest-growing segment, the McKinsey’s 2023 global beauty report, shows, stating that this market is growing two times compared to the world’s average.
The survey by the global advisory firm says Africa is projected to become home to the biggest youth population in the next 15 years and yet, the market has been underserved and neglected in both products and knowledge.
Read also: The Future of Beauty and Cosmetics in Africa: A Market Analysis
Africa is the world’s fastest-growing beauty market
Across key markets in Africa, consumers use imported products, an opportunity that the firm is exploring, leveraging data and tech to disrupt the world’s fastest-growing beauty market.
Patrick Thiriet from EQ2 Ventures said: “We’ve been following Uncover since the early days, and I must say we kept on being impressed by Sneha and Jade. As investors in several consumertech businesses over the last 8 years, we’ve rarely seen such a combination of clarity in the vision and maturity in the execution. We believe Uncover’s team has what’s required to build a leading skincare & beauty brand for Africa and are looking forward to helping them in this journey.”
With an engaged digital community of 200,000+ women across Kenya, Nigeria, and the diaspora, the company says it has been able to grown its revenue 10 times in the last 24 months since their last funding round. The company attributes this growth to their successful expansion to Africa’s most populous market Nigeria, and the launch of new data-driven products made specifically with melanin rich skin women in mind, and investments in their tech platform.
Claire Chang from IgniteXL Ventures said: “We are incredibly impressed with Uncover’s use of data and technology to understand their core customer’s needs. By adopting a data-centric approach, Uncover has built one of Africa’s most engaged, loyal digital communities. Africa’s beauty and wellness sector is poised for substantial growth and Uncover is disrupting the sector with the first brand made by and for women in Africa.”
The skincare startup notes that cross-pollination between online and offline market secnes are critical to scaling within the African beauty market. Uncover leverages an omni-channel approach: Online, building a strong consumer tech platform driven by data to ensure an optimal product discovery, customer education and personalized offering. Offline, the company has built partnerships with top retailers to drive visibility, trust, and availability.
Movement to prioritize women of color
Sneha Mehta, Co-Founder and CEO of Uncover said, “Uncover is much more than a skincare brand. We are a movement to prioritize women of color who have been side-lined by the beauty industry for generations.”
Jade Oyateru, Co-Founder and COO of Uncover said, “We are delighted to partner with a remarkable group of investors who share our vision for the future of women’s skincare and wellness, both on the continent and beyond. They bring a wealth of experience in this industry. This funding will empower us to unlock our next stage of growth, expand our product portfolio, enhance our technology, and reach even more consumers seeking personalized skincare solutions.”
