Wellness brand Rae secures US$9.5M in series A investment round
07 Jun 2021 --- Women-led health and wellness brand Rae has landed US$9.5 million through a series A investment round. The company says it plans to use the financing to build on the “skyrocketing” growth in supplement demand it has experienced since the outbreak of the COVID-19 pandemic.
Rae produces a broad range of supplement products marketed for inclusivity. Its offerings include vitamin and mineral capsules, skin care products, sexual health supplements and immunity boosters.
The company also provides a range of mood-enhancing supplements and attempts to link mental well-being with all other areas of its health care.
The financing follows an expansion period last year in the US, during which the brand spread from Target stores to retailers including Amazon, Anthropologie and Thrive Market. The brand is on target for triple-digit growth in 2021, says Rae.
Disrupting consumer health market
The financing is provided by four US-based investment firms, led by PowerPlant Partners, an evergreen consumer fund based in New York.
The funding follows a previous investment by Victress Capital during the COVID-19 pandemic.PowerPlant Partners is also joined by M13 and Able Partners, two existing Rae investors, and supported by initial capital investor Victress Capital.
“Rae fits squarely in line with our focus on investing in high growth, disruptive consumer brands generating an impact through wellness and social responsibility,” says PowerPlant Partners partner Dan Gluck.
Angie Tebbe, co-founder and Rae CEO, says the company aims to bring needed health and wellness supplements to consumers usually unable to access them.
“Our entire holistic universe is rooted in the philosophy of creating effective, consistent and high-quality yet affordable formulations that benefit consumers in areas where they need the most support and shine in a category full of over-priced alternatives.”
Moreover, Rae’s mission is to emphasize the connection between mind and body, asserts Tebbe. “The demand for this philosophy is there, and consumers’ interest in wellness is not going away anytime soon.”
“Consumers are more aware of their mental and physical well-being than ever. We’re on a mission to help all consumers shine from inside, and with this funding, we’re just getting started.”
Wellness as an intentional lifestyle
Rae’s existing investors state that its approach to inclusion and mental well-being are key factors driving its growth.
Innova Market Insights pegged “Mood: The Next Occasion” as a top trend for 2021, highlighting a 21 percent average annual growth in product launches with a brain or mood health claim between 2015 and 2019.
“Wellness is no longer seen as an occasional indulgence, but rather, an intentional lifestyle. Consumers are more empowered to take control of their physical and mental health,” says Alison Ryu, partner at Able Partners.
“Rae meets consumers where they are at by combining evidence-based, high-quality supplements with educational content and a supportive community that celebrates feeling our best. We are excited to continue to partner with Tebbe and the team at Rae to increase access to well-being for all.”
Edited
By Louis Gore-Langton
