Indian skincare startup ClayCo has raised ₹34.59 crore in a Series A round led by Twenty Nine Capital Partners, with participation from ICMG Global Ventures, aiming to scale product development, expand into new categories and strengthen its supply chain as it targets broader adoption in the direct-to-consumer beauty market.
Funding, founders and positioning
Founded in 2023 by Niharika Jhunjhunwala, ClayCo positions itself as a premium skincare brand that marries traditional beauty ingredients with contemporary formulations. The fresh capital is intended to accelerate the company’s transition from a focused facial-care range to a more comprehensive personal-care portfolio covering body and hair.
Use of funds and operational priorities
ClayCo plans to deploy the Series A proceeds primarily for product innovation and category expansion, while allocating a portion to bolster supply-chain capabilities, improve inventory management and support working capital needs. These investments are aimed at meeting rising consumer demand and improving operational efficiency as the brand scales.
Product strategy
The brand’s early collections drew inspiration from global skincare rituals, including Japanese practices, and emphasise ingredient-led, science-backed formulations. This approach has found resonance among urban consumers seeking premium, efficacy-oriented products.
Financial traction and market context
According to the company, ClayCo’s revenue more than doubled to ₹72 crore in FY26 from ₹33 crore a year earlier, reflecting strong consumer acceptance and repeat purchase behaviour. The growth underscores the broader momentum in India’s beauty and personal care sector, fuelled by rising incomes, greater digital adoption and heightened skincare awareness.
Competitive landscape
The funding round comes amid intensified competition in the D2C beauty segment, where new-age brands are prioritising research, product differentiation and branding to capture discerning, ingredient-focused consumers. ClayCo intends to use the new capital to deepen market penetration, enhance customer engagement and build a distinct brand identity in this evolving landscape.
