Mangalore-based Hangyo Ice Cream said it has raised spherical Rs 211 crore from private equity company Fairing Capital.
The company plans to utilize the current capital to increase its manufacturing capabilities, velocity up new product development, enhance its presence in key markets, primarily south India, and spend cash on selling, managing director Pradeep Pai knowledgeable ET.
After this spherical of funding, Fairing Capital holds a 24% equity stake throughout the ice cream mannequin.
The fundraising comes at a time when new-age ice cream producers are increasingly more attracting enterprise capital investments.
On June 10, ET reported that Ahmedabad-based Hocco Ice Cream had raised Rs 100 crore ($12 million) in a spherical led by its promoter group Chona family along with present investor Saas VC. Equally, on June 19, Go Zero secured $1.5 million from its present merchants, along with DSG Purchaser Companions, Sama Capital and V3 Merchants.
“This funding will take our enterprise to the next stage by way of new product development, market development and innovation in selling,” Pai said.
Based mostly in 2003, Hangyo Ice Cream has established a presence in states along with Karnataka, Tamil Nadu, Kerala, Goa, Andhra Pradesh, Telangana and Maharashtra, with spherical 350 distributors and 30,000 retailers. 300 crores in Hangyo Ice Cream by 2023. 24, and Rs 700 crore throughout the subsequent 4 years. Half of its complete turnover comes from Karnataka.
It affords a group of merchandise in diverse flavors and codecs along with cups, cones, syrups, sticks, tubs distributed by way of widespread commerce, modern commerce and on-line channels. For the time being, on-line product sales account for decrease than 2% of its whole product sales.
Hangyo Ice Cream operates two manufacturing crops in Karnataka, which collectively produce 120,000 liters of ice cream every day.
India’s ice cream enterprise, estimated to be worth spherical $5 billion this 12 months, has seen a surge of new-age producers so far few years. Rising players like Noto, Get-A-Method, Go Zero, Frubon and Minus 30 are vying for market share in a sector traditionally dominated by legacy producers like Amul, Mother Dairy, Hindustan Unilever’s Prime quality Partitions and Jaipuria Group’s Cream Bell.
On April 5, ET reported that Hindustan Unilever is considering the selection of spinning off its ice cream enterprise as a separate unit, setting the stage for a future sale.
“Hangyo Ice Cream is a fast-growing and worthwhile shopper agency that has persistently delivered high-quality merchandise pushed by delicate manufacturing, in depth distribution and highly effective shopper love. Fairing Capital is delighted to confederate with Hangyo of their subsequent part of growth,” said Sameer Shroff, Managing Director, Fairing Capital.
Hangyo Ice Lotions