EcoSoul Raises $20 Mn To Offer Sustainable Homeware Products

SUMMARY

The funding round was a mix of equity and debt, with Accel and Bajaj Financial Securities leading the equity part

EcoSoul plans to deploy the capital to increase the capacity at its manufacturing plants in India and strengthen its omnichannel retail presence in key markets

Founded in 2020, EcoSoul claims to be selling compostable ecofriendly goods in segments like tableware, drinkware, kitchenware and personal care

D2C sustainable home essentials brand EcoSoul has raised $20 Mn (around INR 175 Cr) in a mix of equity and debt in its Series B funding round. The equity part was led by Accel and Bajaj Financial Securities, and also saw participation from StartupXseed Ventures, JSW Ventures, CK Birla Group, Singh Capital Partner.

Alteria Capital and SIDBI provided debt funding of $3 Mn.

The startup plans to deploy the capital to increase the capacity at its manufacturing plants in India and strengthen its omnichannel retail presence in key markets, including the US, the UK, Europe, and the GCC countries.

On the product line side, the startup aims to expand into segments like chemical-free home cleaning and tree-free paper products like printing paper and stationery.

“With over 12,000 retail touchpoints worldwide, including partnerships with Walmart, Costco, Waitrose and Ahold, we’ve proven that consumers globally are ready to embrace sustainable alternatives without compromising on quality or affordability,” said EcoSoul cofounder and CEO Rahul Singh.

Founded in 2020 by Singh and Arvind Ganesan, EcoSoul claims to be selling compostable ecofriendly goods in segments like tableware, drinkware, kitchenware and personal care. The startup claims that it manufactures its products with renewable materials like sugarcane bagasse, bamboo, areca palm leaves, birchwood, and corn starch.

It sells its products via its own website as well as ecommerce platforms like Amazon and Flipkart. Besides, it offers a subscription plan for consumers to order products at regular intervals.

With the latest funding round, the startup claims to have raised more than $50 Mn till date from the likes of TiE Angels, Accel, Founderbank Capital (FBC), among others.

In 2023, EcoSoul raised an undisclosed amount of funding from actor Bhumi Pednekar.

Headquartered in Boston, EcoSoul has expanded its operations across the globe with its supply chain spanning India, China and Vietnam. In India, EcoSoul operates via its subsidiary EcoSoul Home Pvt Ltd.

The startup competes with the likes of Beco, a Mumbai-based sustainable D2C homeware brand which recently raised $10 Mn in its Series B funding round to expand its production capacity.