The Development Bank of Wales has confirmed its support for vegan beauty brand Mallows Beauty with a six-figure financing package including a mix of debt and equity that will help fund product development and export growth.
It is the second investment in the fast-growing business by the Development Bank since 2021.
Based in Pontyclun, award-winning Mallows Beauty was founded by Laura Mallows and Ronnie Bourne in 2020. River Island and Oliver Bonas and brand stock products recently launched in 177 Urban Outfitters stores in the US.
Laura Mallows said: “I founded Mallows Beauty in 2020 because after battling self-image, acne, and anxiety my entire life, it became clear the industry needed a brand based on real kids, real skin, and real bodies. The industry has historically damaged our body image. , which is why I wanted to take a different approach.For us, promoting self-love and body positivity isn’t just a marketing tactic, it’s at the core of everything we do—from our product designs to our social media posts.
“We make sure our message is inclusive and reflective of diverse body types. Every campaign and product is created with the goal of promoting body positivity and self-care. We’re on a mission to change the world of one-off body scrubs. This investment will help us reach our full potential – it will also mean we’re never out of stock.” We are extremely grateful for our great relationship with the Development Bank. They have been long-time supporters of the brand, so they have been our first port of call when planning our next growth chapter.”
Portfolio executives Sam McAllister-Smith and Kelly Jones of the Development Bank of Wales back the company. Sam said: “Mallows Beauty is a fun, innovative and unpretentious ‘self-loving’ brand that focuses on self-care and mental well-being, targeting Gen Z and young millennials. From a humble beginning, the team has shown stellar revenue growth and now employs 14 people with high ambitions to rapidly expand into The U.S. and Australia. Our funding is a really great opportunity to help scale the business in a rapidly growing global market and fits perfectly with our commitment to incorporating ESG factors into investment, analysis and decision making.”
John Saunders is an advisor to Mallows on corporate finance. He said, “I have been working closely with the owners and the Development Bank in this regard over the past six months to facilitate a financing package commensurate with their expansion in the market.”
The investment in Mallows Beauty comes from the £500m Wells Flexible Investment Fund. With loans, mezzanine and equity financing available from £25,000 to £10m, the trust offers 15-year terms.