Latest news with #Drools
Time of India
01-07-2025
- Business
- Time of India
India mints only five unicorns so far; investors say 2021-style boom unlikely to return
At the half-year mark, India has minted just five new unicorns, a pace slower than expected despite the recent thaw in the 'funding winter' that enveloped the startup ecosystem after year started with a boom, with Netradyne crossing the $1 billion valuation mark just days into the new year. However, this momentum has tapered off, with only a handful more startups achieving the unicorn 2025, after Netradyne, logistics platform Porter , pet food startup Drools , omnichannel jewellery retailer BlueStone and business-to-business (B2B) marketplace Jumbotail turned figures of 2025 are far from 2021, the boom year when 45 unicorns were minted. However, industry insiders term that year an anomaly due to multiple factors creating a perfect storm for the fast from macroeconomic uncertainty and geopolitical issues, investors started treading more cautiously after the exuberant period of 2021, prioritising profitability and sustainable unit economics over a 'growth-at-all-costs' mindset. Industry experts said there may not be a return to the frantic 2021 period anytime soon.'Fund managers are now strongly committed to thesis-driven investing, resulting in a metric-driven valuation approach and, consequently, more appropriate valuations in new funding rounds. This is most visible in the slower pace of new unicorn creations in India,' Abhishek Prasad, managing partner, Cornerstone Ventures, told are also examining elements like burn rate, gross margins, and customer acquisition costs more closely to generate positive cash flows and sustainable profits, rather than just strong topline growth.'I expect India will add two to three additional unicorns over the next six months and at least another five to seven in 2026,' he said, adding that a repeat of the record-breaking 2021 levels is have also acknowledged overvaluation concerns during the 2021 period, where the value of startups was inflated due to competition among venture funds. Since then, many companies have seen downrounds, including Unacademy, Meesho and Cred.'Earlier, the Tigers and SoftBanks were making quick decisions and paying very high valuations. They are not that active now,' Sateesh Andra of early-stage venture fund Endiya Partners told ET. 'Post-Covid, there was a digital adoption and zero-interest rate period. Now, there is valuation compression, and it's a very different environment now,' he insiders said enterprise firms adopting artificial intelligence (AI) and companies in defense, deeptech and healthcare sectors could gain unicorn status going to Tracxn data, India has 119 unicorn startups . Government data also shows that the ecosystem has expanded between 2021 and Department for Promotion of Industry and Internal Trade (DPIIT) had recognised approximately 1.57 lakh startups at the end of 2024. Of these, 1.4 lakh were added in the first half of the new unicorns were minted in India in 2021, setting a new record for the number of successful businesses in the country. As a result, the nation added a unicorn almost every nine days. Eighty-four Indian startups were valued at more than $1 billion at the end of the year. The year also saw many firsts, such as the emergence of India's first unicorn in the healthcare, cryptocurrency, and real estate drove this? With the Covid-19 pandemic and the subsequent lockdowns, there was heightened demand for digital services, with consumers and businesses adopting online solutions for everything from education to ecommerce, food delivery, and payments. Remote work also pushed the adoption of software-as-a-service (SaaS) 2022, India's unicorn creation rate fell sharply, with only 22 firms reaching billion-dollar valuations, down roughly 50% from 45 in 2021. The year also saw a change in the industry, with SaaS firms surpassing fintechs as the top area for new unicorns. Mamaearth , Fractal Analytics, LEAD, Xpressbees, Uniphore, CredAvenue, Amagi, Oxyzo and PhysicsWallah were among the 24 businesses that became members of the unicorn 2023, the impact of the funding winter became evident as India witnessed only two new unicorns, down from a record 45 in 2021 and 24 in 2022. Zepto and InCred were the only two startups joining the unicorn raising $200 million in a funding round that valued the fast commerce startup at $1.4 billion, Zepto became a unicorn in August 2023. After that, InCred Finance joined the unicorn club in November 2023 with a Series D fundraising round of Rs 500 crore ($60 million).With six businesses turning into unicorns in 2024, the startup sector appeared to be rebounding. Bhavish Aggarwal, the CEO of Ola Electric, established Krutrim AI, which led the charge and raised $50 million at a $1 billion valuation in January, making it the year's first year, the unicorn cohort included financial technology platform Perfios, ride-hailing startup Rapido, travel tech company RateGain, electric car manufacturer Ather Energy, and lending company Moneyview.
India.com
04-06-2025
- Business
- India.com
Meet Fahim Sultan who started business after inspiration from foreigners, now owns Rs 8000000000 company, business is…, Kareena, Ananya were…
Fahim Sultan Ali is the founder of Drools Pet Food Private Limited. He started it in 2010 under the IB Group. He wanted to make pet food available in India at affordable prices. Drools is a big brand with turnover of Rs 800 crore and is growing at an annual rate of 40%. He was born in Rajnandgaon in Chhattisgarh. He found that there was the dominance of foreign brands in India's pet food market. These imported products were expensive and didn't have good quality of nutrition, according to him. He launched Drools in 2010 to produce affordable and high-quality pet food in India. He was backed by IB Group, which was dealing in poultry and livestock feed. They started supplying ingredients and refined the manufacturing process. He also wanted to provide locally-made products to Indian pet owners so they can meet their specific needs. But he faced many challenges in this process. He had to convince shopkeepers and also educate pet owners about his products. He started earning trust from his customers for his products. Drools has now expanded to over 22 countries like Australia, the UAE, and Israel. Today, it is India's second-largest pet food brand with turnover of Rs 800 crore. Drools also has a portfolio of over 650 products like dry food, wet food, treats, and supplements. These fulfills the nutritional needs of both dogs and cats and for their different breeds. The company has six manufacturing units and has a warehouse network of 1.6 million square feet. Drools has over 3,400 staff members out of which half work in sales and distribution networks. Drools offers science-based nutrition and design products as per the advice of nutritionists and animal experts. It also has online and offline distribution channels to reach their customers. The brand, associated with celebrities like Kareena Kapoor and Ananya Panday for their endorsement.
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Business Standard
03-06-2025
- Business
- Business Standard
India's petcare industry booms with startups, investors, and new mindsets
With landmark deals, like Nestle's investment in Drools, and expanding interest from diverse sectors, the industry looks poised for its next big leap Sarthak Choudhury Delhi Listen to This Article About a week ago, Bengaluru-based pet food brand Drools made headlines by becoming a unicorn — a startup valued at over $1 billion — following an investment from Nestlé SA. It was the Swiss food and beverage giant's first investment in India, and at 10 per cent, also one of the largest investments the country's petcare industry has seen. For those within the sector, this was hardly surprising. 'India's pet economy is undergoing a fundamental shift — from an unstructured sector to a high-growth industry,' says Salil Murthy, managing director of Mars Petcare India, the company behind popular
Economic Times
29-05-2025
- Business
- Economic Times
VCs smell a big opportunity as petcare expands beyond food
A surge in pet adoption since the Covid pandemic, coupled with the rapid expansion of petcare services and the rise of quick commerce, is prompting both risk-capital and strategic investors to seek opportunities in the petcare startup space. ADVERTISEMENT On Monday, Swiss multinational Nestlé SA announced a minority investment in Drools, turning the Bengaluru-based pet food brand into a unicorn, or a privately held firm valued at $1 billion or more. Supertails, a digital petcare platform backed by Fireside Ventures, is in talks to raise $24–25 million in a fresh round, people aware of the matter said. Heads Up For Tails, a petcare brand and retail chain backed by Peak XV Partners, is also in discussions for a new round of funding, sources a Gurgaon-based veterinary care startup, recently closed a $26-million funding round led by Bessemer Venture the last five years, petcare startups — which are broadly categorised as either product-driven offerings or services — have raised $198 million in funding across 20 deals, according to data provided by Venture Intelligence. ADVERTISEMENT Petcare startups have raised $198 million 20 deals over five years. 'Investors see this as a very healthy category because on the one side, there is growth and on the other side, it is a pure retention-based category with good margins,' said Vineet Khanna, cofounder of Supertails. ADVERTISEMENT Founded in 2021, Supertails has raised $30 million so far, including $15 million from RPSG Capital Ventures in February 2024. Prior to the Nestlé investment, Drools had raised $60 million from L Catterton in 2023. ADVERTISEMENT India's petcare market, currently valued at $3.5 billion, is expected to reach $7–7.5 billion by 2028, according to a report by Redseer Strategy Consultants. The number of pets in Indian households has grown from 26 million in 2019 to 32 million in 2024, the report noted.'Higher disposable incomes, delayed marriages, and lower fertility rates are contributing to increased demand for companionship (of pets),' Khanna said the industry is growing consistently with strong retention of consumers, 'especially as people spend more across categories.' ADVERTISEMENT Legacy FMCG players and consumer companies have also entered the fray. In August 2023, Godrej Consumer Products committed Rs 500 crore to the category through a joint effort with Godrej Agrovet. Earlier, Nestlé India acquired Purina Petcare India from its global parent for Rs 125.3 crore, and Emami picked up a 30% stake in petcare brand Cannis Lupus Services India. Currently, Mars, the maker of Pedigree and Royal Canin, remains the market leader in pet nutrition in larger players, startups like Heads Up For Tails, Supertails, Goofy Tails, and Just Dogs have built product-led offerings, while Vetic, Petmojo, The Pet Nest, and Happy Pettings are focused on services like vet care, grooming, and product purchases are increasingly made online, especially on platforms like Amazon, Flipkart, and quick commerce services like Blinkit and Zepto.'Ecommerce created the initial demand, but quick commerce is what's taking it to the next level,' said Renu Bisht, founder of brand consultancy Commercify360. 'Now, even in tier-II cities, pet owners can access a wide range of products without visiting niche offline stores.'Non-food categories such as grooming, supplements, toys, and accessories are now growing faster than core pet food, industry experts said.'If food is growing at 18–20% year-on-year, non-food segments like healthcare and accessories are clocking over 25% growth,' Khanna noted. 'Pet parents today are far more aware of their pets' needs.' Prayag Mohanty, principal at Fireside Ventures, said, 'The pandemic was a clear tailwind. People were at home and started looking for companionship. That growth has continued across the category.'
Time of India
29-05-2025
- Business
- Time of India
VCs sniff opportunity as petcare expands beyond food
A surge in pet adoption since the Covid pandemic, coupled with the rapid expansion of petcare services and the rise of quick commerce, is prompting both risk-capital and strategic investors to seek opportunities in the petcare startup space. On Monday, Swiss multinational Nestlé SA announced a minority investment in Drools , turning the Bengaluru-based pet food brand into a unicorn, or a privately held firm valued at $1 billion or more. Supertails, a digital petcare platform backed by Fireside Ventures, is in talks to raise $24–25 million in a fresh round, people aware of the matter said. Play Video Pause Skip Backward Skip Forward Unmute Current Time 0:00 / Duration 0:00 Loaded : 0% 0:00 Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 1x Playback Rate Chapters Chapters Descriptions descriptions off , selected Captions captions settings , opens captions settings dialog captions off , selected Audio Track default , selected Picture-in-Picture Fullscreen This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Text Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Transparent Caption Area Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Drop shadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Heads Up For Tails, a petcare brand and retail chain backed by Peak XV Partners, is also in discussions for a new round of funding, sources said. Vetic, a Gurgaon-based veterinary care startup, recently closed a $26-million funding round led by Bessemer Venture Partners. Live Events Over the last five years, petcare startups — which are broadly categorised as either product-driven offerings or services — have raised $198 million in funding across 20 deals, according to data provided by Venture Intelligence. Discover the stories of your interest Blockchain 5 Stories Cyber-safety 7 Stories Fintech 9 Stories E-comm 9 Stories ML 8 Stories Edtech 6 Stories ETtech Petcare startups have raised $198 million 20 deals over five years. 'Investors see this as a very healthy category because on the one side, there is growth and on the other side, it is a pure retention-based category with good margins,' said Vineet Khanna, cofounder of Supertails. Founded in 2021, Supertails has raised $30 million so far, including $15 million from RPSG Capital Ventures in February 2024. Prior to the Nestlé investment, Drools had raised $60 million from L Catterton in 2023. India's petcare market, currently valued at $3.5 billion, is expected to reach $7–7.5 billion by 2028, according to a report by Redseer Strategy Consultants. The number of pets in Indian households has grown from 26 million in 2019 to 32 million in 2024, the report noted. 'Higher disposable incomes, delayed marriages, and lower fertility rates are contributing to increased demand for companionship (of pets),' Khanna said. He said the industry is growing consistently with strong retention of consumers, 'especially as people spend more across categories.' Legacy FMCG players and consumer companies have also entered the fray. In August 2023, Godrej Consumer Products committed Rs 500 crore to the category through a joint effort with Godrej Agrovet. Earlier, Nestlé India acquired Purina Petcare India from its global parent for Rs 125.3 crore, and Emami picked up a 30% stake in petcare brand Cannis Lupus Services India . Currently, Mars, the maker of Pedigree and Royal Canin, remains the market leader in pet nutrition in India. Alongside larger players, startups like Heads Up For Tails, Supertails, Goofy Tails, and Just Dogs have built product-led offerings, while Vetic, Petmojo, The Pet Nest, and Happy Pettings are focused on services like vet care, grooming, and training. Pet product purchases are increasingly made online, especially on platforms like Amazon, Flipkart, and quick commerce services like Blinkit and Zepto. 'Ecommerce created the initial demand, but quick commerce is what's taking it to the next level,' said Renu Bisht, founder of brand consultancy Commercify360. 'Now, even in tier-II cities, pet owners can access a wide range of products without visiting niche offline stores.' Non-food categories such as grooming, supplements, toys, and accessories are now growing faster than core pet food, industry experts said. 'If food is growing at 18–20% year-on-year, non-food segments like healthcare and accessories are clocking over 25% growth,' Khanna noted. 'Pet parents today are far more aware of their pets' needs.' Prayag Mohanty, principal at Fireside Ventures, said, 'The pandemic was a clear tailwind. People were at home and started looking for companionship. That growth has continued across the category.'
