Mumbai based online retailer for children’s clothing brand in the up-to-10 age group Hopscotch has raised $25 Mn from Facebook cofounder Eduardo Saverin’s investment arm EE Capital, Lionrock Capital, Rise Capital, RPG Ventures and IIFL Seed Ventures Fund.
Angel investors including Wei Yan, the cofounder of Diapers.com, and Techpro Ventures, the fund owned by Atul Nishar, the founder of Aptech, also participated in the investment round.
The company, through its digital platform, also sells food and personal care branded items owned by third-party firms.
Speaking to ET, Hopscotch’s founder Rahul Anand said, with an average basket size of INR 1,500 and 2.5 units sold per shipment, the company has swung from losses to EBITA profitability.
Hopscotch claims that it has had 3 million transactions since its inception.
According to Anand, mothers are increasingly spending more on clothes for children and stretching their budget to buy branded products amid a range of options due to increased access, double-income households, and better selection online.
Hopscotch is one of India’s largest direct to consumer brands with its own inventory. Hopscotch launches 400 styles every day, while most brands do 800 a year.
Earlier this year, Pune-based baby products marketplace Firstcry raised $296 Mn (INR 2120 Cr) Series E funding from Japan-based marquee investor Softbank’s Vision Fund. The transaction had taken Firstcry’s valuation to $1.2 Bn to enter India’s unicorn club.
According to a study by Research and Markets, the Indian baby care products market is projected to grow at a CAGR of 10.1% during the period 2018-24.