Chando Group secures USD 98M investment from Jiahua Capital and L’Oréal
This move positions Chando’s growth as emblematic of the ongoing rise of domestic beauty powerhouses poised to dominate both national and international stages.
CHINA – Shanghai-based Chando Group, a leading domestic beauty brand, has secured a new round of financing totalling over 700 million RM(USD 98.14 million).
This round includes a significant 300 million RMB (USD 42.1 million) investment from Jiahua Capital and an additional 442 million RMB (USD 61.96 million) from L’Oréal’s subsidiary, Meiting.
This strategic injection places Chando’s post-investment valuation at approximately 7.14 billion RMB(USD 1 billion), confirming its status as a newly minted domestic beauty unicorn.
This round marks Chando’s first-ever financing since its founding more than two decades ago by Zheng Chunying, who started the company with the ambition to build a world-class Chinese cosmetics brand.
Jiahua Capital, a major player in China’s consumer investment space with a management scale exceeding 30 billion RMB, has been nurturing Chando since 2021 through extensive research and operational empowerment, aiding the company in digital transformation, strategic planning, and boosting its direct-to-consumer (DTC) channels.
Today, Chando’s online sales represent 68.8% of its revenue, underscoring its success in content-driven e-commerce.
L’Oréal’s investment via Meiting reflects a strategic endorsement from a leading global beauty giant, with both investors holding notable stakes (6.67% for L’Oréal, 4.20% for Jiahua) ahead of Chando’s planned IPO on the Hong Kong Stock Exchange.
Chando has steadily risen to become China’s third-largest domestic cosmetics group, recording revenues surpassing 4.5 billion RMB(USD 632 million) annually, with its core brand contributing roughly 95% of overall sales.
The company’s founding family, the Zheng siblings, maintains majority control with nearly 88% of voting rights, reinforcing its strong governance.
This milestone investment highlights renewed confidence in China’s domestic beauty market, driven by strong consumer demand for high-quality, affordable products and the growing prominence of localized brands amidst a shifting consumption landscape.
The IPO is anticipated to be a key event in China’s consumer sector, reflecting broader market optimism and a valuation recovery in consumer stocks on the Hong Kong market.
CHANDO Group offers skincare products inspired by Himalayan botanicals, including moisturizers, serums, and cleansers.
Their face masks range from hydrating sheets to freeze-dried ampoules.
The brand also produces makeup items like cushion foundations and tone-up creams. CHANDO’s men’s line features oil-control and energizing skincare.
Beyond beauty, they offer luxury home fragrances such as porcelain diffusers and scented candles.
Sign up to receive our email newsletters with the latest news updates and insights from Africa and the World HERE.
