Wouldn’t it be great if every day was a good hair day? Unfortunately, many factors undermine the hair and scalp health needed to make that quest a reality. Everything from stress and environmental factors to genetics and hormonal fluctuations can affect a person’s hair and scalp.
It was scalp and hair issues that motivated Dani Austin Ramirez—and co-founder Jordan Ramirez—to launch Divi, a scalp health pioneer in the Norwest Growth Equity portfolio. Dani began experiencing hair loss as a stressed-out college student and it only got worse after the birth of her first child in 2016. She first developed home remedies to promote scalp and hair health, ensuring that they were science-based and formulated with natural ingredients. In 2021, she engaged a scientist to help her develop what became Divi’s first hero product, the Scalp Serum.
Dani shared her story on her social media platforms, generating visceral reactions from women who were dealing with the same issues. Scalp care is a sensitive topic and Dani’s genuine emotional connection with consumers inspired loyalty across Divi’s customer base, not to mention a following of 2.3 million on Instagram. That community, as well as Divi’s product line, have grown quickly since then. As admirers of Dani’s authenticity and commitment to providing solutions for an overlooked consumer challenge, we were proud to make a minority investment in Divi in late 2024.
The “Skinification” of Scalp Care
The post-pandemic period was a defining moment for personal healthcare. People around the world began reevaluating their approach to personal care, from skincare regimens to exercise to nutrition and mental health. The demand for self-care has only grown, particularly for science-driven, natural products like Divi’s. And a massive surge in skin and hair care influencers is a powerful driving force behind the millions of consumers who are investing in hair and scalp routines that complement their overall approach to health.
Divi’s strong brand identity sets the company up to capture a leadership position in this high-growth segment. The global scalp care market is projected to reach $20+ billion by 2030 with annual growth pegged at 7.1 percent from 2023 to 2030.
A Compelling Founder’s Story Resonates with Consumers and Major Retailers
With the Divi brand, Dani successfully broadened the discussion of hair and scalp health, connecting it to overall physical and mental health. The Divi team continues to educate consumers while sharing how Divi products can help women keep their scalps healthy through various life stages. Dani is championing the idea that scalp and hair health isn’t something to avoid—it’s something to be understood, improved, and incorporated into a daily routine, no different from washing your face or brushing your teeth.
Consumers agree. Divi’s original Scalp Serum, initially offered direct-to-consumer, sold out in just two hours. New products have replicated this success. The company launched a dry shampoo in April 2024 that sold at the rate of one unit per second on the first day. Divi retailers and channel partners now include Ulta Beauty, Ulta Beauty at Target, and Amazon. Divi has been recognized as one of WWD’s 100 Greatest Hair Products of All Time and broke Ulta records nationwide.
The Norwest Connection: A Great Product Fit and Engaged Team
Norwest first connected with Divi in 2022 and has followed its success and expansion since. From the very beginning, Divi has been a profitable venture. Dani and Jordan managed their rapidly growing influencer business while simultaneously building Divi into a category leader in just three years. But as they scaled, Dani, Jordan, and their team knew the company needed a partner who had “seen the movie before”—someone with the expertise to help Divi navigate the complexities of international expansion, an increasing SKU count, and the need for specialized C-suite talent.
By mid-2024, Divi was ready to bring on that external strategic support to take it to the next level. The company needed to professionalize without losing the strong, values-driven culture that made the brand special. Dani and Jordan searched for a partner who would respect their ethos, align with their mission, and help Divi scale in a way that felt authentic. Over the course of our relationship, Dani and Jordan came to realize that Norwest understood their vision, trusted them as founders, and provided the strategic guidance to elevate Divi without compromising its identity–we were the partner they needed.
In October 2024, we were thrilled to work out a funding investment in which Norwest took an equity position in Divi and assumed a board seat. Divi is using Norwest’s capital infusion and resource network to extend the company’s presence with its retail partners, develop and launch new products, and expand in key U.S. metro areas and internationally.
The investment team we assembled to lead the Divi partnership is all women. We not only connect with Dani’s story, we can bring the perspective of being in Divi’s target demographic. We believe in the loyal community and authentic customer connections Dani has built, along with the fast-growing, science-based product line. We look forward to working with Dani, Jordan, and the Divi team on their next phase of growth.
Norwest invests in health and wellness companies that offer innovative solutions to real problems. If you’re building such a company, we want to hear from you. Contact our investment team members: Sonya Brown, Lauren Beauchamp, or Angela Johnson.
