Business

Brazilian antiviral clothing startup Insider raises a BRL 12 million round from BTG

Investment via venture debt will be used to expand the team and launch new products; startup quadruples revenues in 2020

Brazilian antiviral clothing startup Insider raises a BRL 12 million round from BTG
Yuri Gricheno and Carolina Matsuse, Insider's co-founders. Photo: Courtesy
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Insider, a Brazilian functional clothing startup, raised BRL 12 million via venture debt from boostLAB, the technology hub of investment bank BTG Pactual.

The startup will invest the capital in hiring and new products. The company leveraged its business during the pandemic thanks to a catalog of antiviral tissue products. According to Insider, the startup quadrupled revenues in 2020, reaching revenues of BRL 30 million, and went from 10 to 70 employees.

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According to Yuri Gricheno, Insider co-founder alongside Carolina Matsuse, the venture debt round is a step towards a Series A, which may happen by the end of the year according to the startup‘s plans.

Venture debt is a lesser-known funding method for startups in Brazil, which consists of financing through non-convertible debt. In Insider’s venture debt round, the agreement with BTG Pactual included a 5-year equity kicker, which allows boostLAB to capture part of the brand valuation in case of a liquidity event. 

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Insider was founded in 2016 with the proposal to add technology to the production process of functional clothing, creating more durable pieces and with anti-odor, antibacterial, heat-regulated and, with the pandemic, antiviral action – one of the brand’s biggest successes were the masks and t-shirts with antiviral technology. Insider has no physical store, all sales are online, and currently operates only in Brazil.

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