Mamaearth, a baby and mother care brand, has raised nearly $80 million in a new round led by Sequoia at a unicorn valuation. This is the Bengaluru-based startup’s second round in 2021. It had raised $50 million in a round led by Sofina in July, at a valuation of $730 million.
According to regulatory filings, MamaEarth has approved the allotment of 1,741 Series F preference shares at an issue price of Rs 33,85,049 in order to raise Rs 589.3 crore ($79.5 million).
Sequoia led the round with a Rs 311.8 crore investment, followed by Sofina and Evolvence Fund with Rs 222.06 crore and Rs 55.5 crore, respectively. This appears to be part of a larger round, and the company may raise additional funds as a result of it.
MamaEarth has raised new funds at an estimated valuation of $1.07 billion, a 42.7 percent increase over its previous funding round valuation of $750 million. In 2021, the company will join 42 other companies in the coveted club of unicorns.
MamaEarth is also one of the few unicorn startups with a female co-founder. OfBusiness, MobiKwik, Good Glamm Group, and Pristyn Care are among the companies on the list.
MamaEarth’s promoters’ stake has been reduced to 35.3 percent as a result of the new share allotment.
The five-year-old company has risen to become one of India’s leading direct-to-consumer (D2C) brands. It claims to have made around Rs 500 crore in total sales in the previous fiscal year, and it expects a two-fold increase in sales in FY22.
