Sequoia India leads $18m funding in baby care brand Mamaearth

Baby-care products brand Mamaearth, operated by Honasa Consumer Pvt Ltd, has raised about $18 million (Rs 130 crore) in funding led by Sequoia India, it announced on Wednesday.

The round also saw participation from existing investors, Fireside Ventures, Stellaris Venture Partners and Sharp Ventures. Some early angels have exited the company in this round with a return of over 20x on their initial investment, Mamaearth said in a statement.

The company plans to use the freshly acquired funds over the next 3 years to continue its
growth, building it into a 500 crore brand by acquiring 5 million new consumers. The funds will also be used to launch more brands under the Honasa umbrella — all of which will be internet-first and focused on the needs of the new-age, millennial consumers, the statement added.

Apart from this, the company plans to utilise the funds to expand into key markets in Southeast Asia, and hire talent.

“Our vision is to create the FMCG conglomerate of the future by building brands that connect strongly with millennials and Gen Z customers using the combined power of digital marketing and e-commerce at large scale,” Varun Alagh, Founder and CEO of Mamaearth, said.

Founded in 2016 by husband-wife duo Varun and Ghazal Alagh, MamaEarth claims to offer 100 per cent toxin-free & natural skincare, hair care & baby care products. Its range includes 80+ natural, toxin-free products, with 1.5 million+ consumers in over 500 cities across India.

The company said it is building a new range of direct to consumer brands that use the internet-first approach to reach the target audience.

“Out of India’s $15B+ personal care market, online channels contribute to only 3-5%. With 15-20% of Indian shoppers influenced digitally and expected to double in next 7-8 years, digital first brands have the potential to redefine the architecture of tomorrow’s FMCG companies,” Ishaan Mittal, Principal, Sequoia Capital India LLP said.

Mamaearth counts a number of prominent angels as investors, including Marico’s Rishabh Mariwala, who manages Sharrp Ventures; Snapdeal co-founders Kunal Bahl and Rohit Bansal; and actor and entrepreneur Shilpa Shetty Kundra. It raised $4 million led by Stellaris and Fireside in September 2018, and $1 million from Fireside in September 2017.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.