DAVIDsTEA, a Montreal, Quebec, Canada-based retailer of loose leaf teas, has received a CAD$14m minority investment.
The round was led by the Highland Consumer Fund, with participation from Chip Wilson, the founder & former CEO of Lululemon Athletica.
Founded by Herschel and David Segal in 2008, DAVIDsTEA has grown from one store in downtown Toronto to more than 75 retail outlets across North America, with 2 stores in New York City.
The company intends to use the proceeds from the investment to continue to help fuel the growth of retail operations across North America. It will establish a U.S. headquarters.
Following the investment, Herschel Segal will continue to serve as Chairman and will be joined on the Board by David Segal, Jane Silverstone Segal, Sarah Segal (now interim President) and Javier San Juan, President of L’Oreal Canada. In addition, Chip Wilson and Tom Stemberg, Managing General Partner at Highland and founder and former CEO of Staples, will also be joining the Board of Directors.