Stellaris and Fireside Swaddle Mamaearth with $4 million in Series A

MUMBAI: Mother and baby care brand Mamaearth has raised $4 million, or about Rs 27.5 crore, as part of its Series-A round led by early stage technology-focused fund Stellaris Ventures and existing investor Fireside Ventures.

The round also saw participation by FMCG player Marico’s Mariwala family office managed by Rishabh Mariwala, and existing angel investors Kunal Bahl and Rohit Bansal, founders of ecommerce marketplace Snapdeal.

This is Stellaris’ first investment in the consumer brand space. The investment values Mamaearth at around Rs 90-95 crore, according to people aware of the transaction.


ET had in its July 27 edition reported that Mamaearth was in talks with investors, including Stellaris, to finalise its investment.

“Digital-first brands are creating immense value globally. With the ecommerce ecosystem maturing in India, we feel the time is right for Indian brands to achieve the same,” said Rahul Chowdhri, partner at Stellaris Venture Partners, who will join Mamaearth’s board post this investment.

Founded in 2016 by Varun and Ghazal Alagh, New Delhi-based Mamaearth offers almost 50 natural, toxin-free products for mother and baby personal care including innovative products like protective repellents and oral care products. The firm also sells pre-natal and post-natal products for mothers and recently launched a range of personal care products in men’s grooming for fathers.

Mamaearth will use the capital to expand its team, invest further in product research and development, strengthen its offline retail presence, as also scale up direct consumer reach while building brand awareness.

“Currently we are present in about 500 retail touch points. We are focusing on offline expansion and are looking to expand our footprint to over 5,000 stores by next year,” Varun Alagh, founder of Mamaearth told ET. “These would include baby specialty stores, pharmacies and new modern trade stores, among others.”

He declined to comment on the valuation metric of the company.

Mamaearth currently sells about 50,000 units per month across all categories with over 80% of its sales coming from online channels. The firm is looking to grow volumes by 3x to 150,000 units every month over the next year and expects the offline channel to contribute about 50% of the revenues in three years. For this, the firm is also looking to expand its product portfolio, and plans to launch about 20 products across categories of ‘easy to use and apply’ for mothers and babies as also hair detangler products for babies. Mamaearth claims to have crossed an annualised revenue run rate of over Rs 15 crore as of August and is looking to cross the Rs 100 crore revenue run rate mark by 2021.