Delhi-based baby care products startup The Moms Co has announced a $5 Mn (INR 35 Cr) Series B round from existing investors DSG Consumer Partners and Saama Capital.
The company said it would be utilising the funds to expand its product portfolio, invest towards adding to its tech capabilities and add offline presence across India in the next one and a half years. The company is targetting INR 100 Cr in revenue with this expansion.
The Moms Co CEO Malika Sadani said in a statement that the company is committed to making the brand one of the largest natural and certified toxin-free solution provider for moms and babies in India.
Recently, the company also announced its partnership with rePurpose Global to enable its customers to voluntarily offset the plastic consumption associated with their online purchases, thereby delivering them a 100% PlasticNeutral experience.
The Moms Co was founded by Sadani in 2016, and it makes and sells toxin-free and natural baby care products. Its offers a range of products in face care and hair care among others. It claims to have served more than 500K customers in 10K locations across India. Currently present in five cities, the startup has tied up with more than 15 maternity hospitals. Over the years, the company has been growing organically month-on-month at a steady pace of 15% to 20%.
In 2017, the company had raised $1 Mn in a Series A round of funding by DSG Consumer Partners and Saama Capital.
Apart from The Moms Co, DSG Consumer Partners and Saama Capital have also co-invested in consumer-centric brands startups like Veeba, Chai Point, Raw Pressery, EasyDiner and other startups.
As per a Technavio report, the Indian baby care market is expected to grow at a compound annual growth rate (CARG) of 17% to touch $31 Bn between 2014 to 2019, from $14 Bn. Recently, a lot of players have emerged in the niche market, includes BabyCare, BabyChakra, FirstCry and more.
Earlier this year, Japanese investment firm SoftBank reportedly set to invest $400 Mn, where it planned to acquire a 40% stake in FirstCry, valuing it at around $600 to $ 700 Mn. FirstCry has also focussed on offline growth with a customer base of over 4 Mn and a footprint of over 300 stores spread across 125 cities.