L Catterton, the private equity firm co-founded by luxury goods producer LVMH, committed $200m yesterday to US-based consumer products maker Honest Company.
The transaction is expected to close later this month following customary closing conditions.
Founded in 2012, Honest Company produces and sells household products that avoid health-compromising chemicals or compounds. The company also puts an emphasis on ethical consumerism.
The funding will accelerate the company’s innovation initiatives and help bolster its supply chain and global reach. It will also launch more than 80 new and improved baby and beauty products by the end of the year.
Honest Company has also signed an exclusive partnership with beauty retailer Douglas to launch its beauty range in Europe in 2019.
Financial services group Fidelity Management & Research (FMR) previously led a $75m series E round in October 2017 that featured existing, unnamed backers. The round slashed Honest Company’s valuation from $1.7bn to just under $1bn.
Glade Brook Capital Partners led a $100m series D round in 2015 that included FMR, AllianceBernstein, Wellington Management Company and Institutional Venture Partners (IVP).
Wellington led a $70m series C round in 2014, with participation from IVP, Lightspeed Venture Partners, General Catalyst Partners and Iconiq Capital, after IVP had led a $25m series B in 2013 that featured Iconiq, Lightspeed and General Catalyst.
In 2012, General Catalyst, Lightspeed and IVP co-led a $27m series A round for Honest Company.
