Castanea Partners has made a minority investment in Tatcha, a beauty and lifestyle company that sells a line of skincare products including serums, moisturizers, mists, exfoliants, and cleansers.
“Tatcha” refers to the Japanese word for “standing flower” and is the inspiration for the company’s approach to skincare without using harmful additives or unnecessary ingredients. Tatcha’s products are distributed through the company’s website, Sephora North America, QVC, and other domestic and international wholesale and specialty retail stores.
Tatcha was founded in 2009 by CEO Victoria Tsai and is headquartered in San Francisco (www.tatcha.com).
“Tatcha stands out for its high-quality products and authentic brand heritage,” said Steve Berg, a Managing Partner at Castanea. “We look forward to working with Vicky and the team to support the company’s growth.”
Castanea Partners invests from $15 million to $150 million in companies that operate in branded consumer products and services, including companies in lifestyle apparel and accessories, beauty and personal care, food and beverage, and outdoor and leisure. The firm is currently investing from its $600 million fourth fund that invests in companies with enterprise values up to $250 million. Castanea is headquartered near Boston in Newton, MA (www.castaneapartners.com).
“This is a very exciting investment for us,” said Janet Gurwitch, Operating Partner at Castanea, and former founder and CEO of Laura Mercier. “The company is at a stage in its development where our deep industry and operating expertise will add value as Tatcha pursues its global growth potential.”
New York, London and San Francisco-based investment bank Financo (www.financo.com) was the financial advisor to Tatcha on this transaction. Managing Director Vennette Ho led the transaction for Financo.
“We’re honored to work with Castanea because of their unique experience in building luxury brands in beauty and beyond,” said Ms. Tsai. “Steve and Janet are star players in the beauty industry and have a reputation for being great partners. We are also deeply grateful to Financo for bringing us together, and to Vennette Ho for her tireless work to help us find our perfect match.”
© 2017 Private Equity Professional | October 16, 2017
