Lady Gaga’s cosmetic startup, Haus Beauty, is all set to receive funding from Lightspeed Venture Partners, the firm that bet on companies like Snap, Stitch Fix and Jessica Alba’s Honest Company.
Though venture capital and early stage funds are known to invest in start-ups that have disruptive innovations, Lady Gaga’s cosmetics venture seems to have caught the eye of investors.
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Investment in beauty startups is surging. Funding of privately held beauty companies has totaled $555 million so far this year, already passing the 2017 full-year total of $531 million, according to research firm CB Insights.
Though the exact investment could not be learnt, Lightspeed investments typically investes between $5 million and $10 million, according to Recode.
Haus Beauty, is currently in “stealth mode” or has not yet launched. The CEO is Ben Jones, who was the former chief digital officer at Honest Company and its offshoot Honest Beauty, sources told Recode. Lady Gaga, born Stefani Germanotta, is the founder.
“Direct-to-consumer beauty brands, which saw the largest number of deals in 2017 across the industry, are chipping away at the market share of personal care incumbents who are responding with increased M&A activity, incubator and accelerator programs, new in-store technologies, and more,” CB Insights said in a report on the industry earlier this year.
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