Divi, a brand specializing in scalp and hair health products, secured a minority investment from Norwest, a global venture capital and growth equity firm.
Founded in 2021 by entrepreneur Dani Austin, Divi has rapidly gained consumer recognition for its clean, science-based approach to hair care, particularly in the growing segment of scalp health. The company’s first product, the Scalp Serum, sold out within two hours of its launch, generating nearly $40 million in revenue in its first year, according to the company press release.
Divi has since broadened its product line to include shampoos, conditioners, treatment masks, and a dry shampoo.
The partnership with Norwest marks a significant milestone in Divi’s growth trajectory. “Welcoming Norwest into the Divi family is a huge milestone,” said Dani Austin, Divi’s founder, in a media statement. “Together, we are going to continue our focus on new product innovation while keeping our customer number one.”
About Norwest’s minority investment
Norwest manages over $15.5 billion in capital and has a history of scaling founder-led brands, including Kendra Scott, Vuori, and Ritual. Sonya Brown, General Partner and co-head of Norwest’s Growth Equity team, will join Divi’s Board of Directors as part of the deal.
“Dani transformed her personal journey with hair loss into a fast-growing, science-based product line focused on the skinification of scalp and hair health. We look forward to working with Dani, Jordan, and the Divi team on this next phase of growth,” Brown said in a press statement.
In the same media release, Divi Chairman and former CEO Jordan Joseph Ramirez emphasized the importance of organizational development in the company’s next chapter. “Creating a dream team is a core focus for us moving into 2025, and Norwest and their industry relationships will be instrumental in helping us in this area,” he said.
Industry impact
The announcement is significant for the cosmetics and personal care product industry as it highlights two growing trends: the rising consumer demand for targeted scalp care products and the potential for brands that integrate innovative product development with community engagement. Divi’s success has partly been driven by its direct connection with consumers, leveraging feedback and fostering conversations about scalp and hair health.
Retail distribution has been a crucial part of Divi’s strategy, with the brand launching in Ulta Beauty in 2022 and later expanding to Ulta Beauty at Target stores in 2024. Its partnership with Norwest is expected to provide additional resources to scale its retail footprint and continue building its presence in e-commerce and brick-and-mortar channels.
For cosmetics manufacturers and suppliers, Divi’s growth story illustrates the market opportunities tied to consumer interest in clean, science-based personal care solutions. Norwest’s involvement also points to sustained investor confidence in innovative, niche-focused brands poised to expand their reach globally.
