Honest Company's down round will strip it of unicorn status
October 6, 2017
The Honest Company, a maker of personal care, cleaning and baby products co-founded by Jessica Alba, is in the process of raising $75 million at an estimated valuation of $860 million, according to a court filing. That's a sharp drop from the $1.7 billion valuation Alba's company reached in 2015.
The down round isn't surprising, as the ecommerce startup has experienced a few bumps in the road over the last year. In September 2016, Unilever agreed to acquire Seventh Generation, squashing rumors that the consumer goods giant was interested in buying The Honest Company. In December, the company announced it would be cutting about 14% of its staff in 1Q. Earlier this year, the company underwent a leadership shakeup when co-founder Brian Lee stepped down as CEO.
Here's a roundup of Honest's VC funding history:
• Sept. 2011: $6 million round | $21 million valuation
• March 2012: $21M | $96M
• Nov. 2013: $25M | $320M
• Aug. 2014: $70M | $865M
• Aug. 2015: $100M | $1.7B
Check out The Honest Company's free profile.
The down round isn't surprising, as the ecommerce startup has experienced a few bumps in the road over the last year. In September 2016, Unilever agreed to acquire Seventh Generation, squashing rumors that the consumer goods giant was interested in buying The Honest Company. In December, the company announced it would be cutting about 14% of its staff in 1Q. Earlier this year, the company underwent a leadership shakeup when co-founder Brian Lee stepped down as CEO.
Here's a roundup of Honest's VC funding history:
• Sept. 2011: $6 million round | $21 million valuation
• March 2012: $21M | $96M
• Nov. 2013: $25M | $320M
• Aug. 2014: $70M | $865M
• Aug. 2015: $100M | $1.7B
Check out The Honest Company's free profile.
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