Mamaearth Raises $92M In Anchor Round Ahead Of IPO With Support From ADIA, Norges, And Others


Honasa Consumer, the parent company of popular skin and personal care brand Mamaearth, has successfully secured approximately $92 million in an anchor round just before its initial public offering (IPO) commences on Tuesday. This significant capital injection serves as a strong indicator of the current appetite of the Indian public markets for startups.

Key Takeaway

Honasa Consumer, the parent company of Mamaearth, has raised $92 million in an anchor round ahead of its upcoming IPO. The participation of prominent investors, including ADIA and Norges Bank, highlights the strong market interest in Indian startups. Mamaearth is set to open its IPO at a price band of $3.7 to $3.9. The success of Mamaearth’s IPO will be closely monitored by other Indian startups considering their own public offerings.

Anchor Backers

  • Abu Dhabi Investment Authority (ADIA)
  • Norges Bank
  • Fidelity
  • Invesco
  • Goldman Sachs
  • CDPQ
  • White Oak
  • Franklin Templeton
  • Kotak
  • DSP
  • Carmigniac Gestion
  • Loomis Sayles
  • Matthews
  • Pictet
  • Hornbill

A total of over three dozen asset managers, including some well-known Indian mutual funds, participated in the anchor round by subscribing to shares issued by Honasa Consumer. These investors have collectively subscribed to nearly half of the $204.3 million funding target that Mamaearth aims to secure through its public debut.

Mamaearth’s IPO Details

Mamaearth, which operates under Honasa Consumer, will open its IPO on Tuesday at a price band of $3.7 to $3.9. Known for its wide range of skincare products, Mamaearth enjoys the support of prominent backers such as Peak XV Partners and Sofina.

About Honasa Consumer

Honasa Consumer is the parent company of multiple brands, including Mamaearth, The Derma Co, and BBlunt. With a strong omni-channel distribution network, Mamaearth serves approximately 18,000 zip codes through its direct-to-consumer (D2C) and e-commerce channels. The company also boasts a significant presence in over 113,000 FMCG retail outlets across India.

Indian Startups Eyeing IPOs

Several other Indian startups are closely monitoring market conditions as they evaluate the timing for their own IPOs. Analysts at AllianceBernstein anticipate a surge in internet IPOs in the first and second half of 2024 as market conditions improve. Notable potential IPO candidates include OYO Rooms, Indegene/Tata Tech, Reliance Retail, Flipkart, and Swiggy, which could collectively add approximately $150 billion to the market cap.

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