3 days ago
Atomberg in talks with investors to realign cap table as it preps for IPO next year
Mumbai: Atomberg Technologies' late-stage investors, Temasek Holdings and Jungle Ventures, are in talks to increase their stake in the smart fan maker by buying shares from early backers as the company gears up for a public listing next year, three people familiar with the matter said.
'These investors are in talks with Whiteboard Capital, Inflexor Ventures and A91 Partners to buy a part stake to increase their shareholding in the company," one of the people cited above said. 'The investors are unlikely to completely exit until or after the IPO (initial public offering) unless they get a good price," the person added.
A second person said Atomberg is also in discussions with external investors to discover its valuation amid strong demand for the asset. The $30-40 million round will be largely secondary, with a small primary component, as the company does not currently require fresh capital.
'With these efforts, the company is trying to realign its capitalization table ahead of the listing. Atomberg has also tapped several bankers for an IPO and the appointments will happen in the coming months," according to a third person.
Temasek and Atomberg declined to comment on the matter, while Whiteboard, Inflexor and A91 did not immediately respond to Mint's requests for a comment.
The development comes over two years after the consumer appliances brand raised $86 million in its series C funding round led by Temasek and Steadview Capital at a valuation of $357 million, according to data from market intelligence provider Tracxn.
The round also saw participation from Trifecta Capital and existing investors Jungle Ventures and Inflexor Ventures, through a mix of primary and secondary issuances. Early investors who made a partial exit in this round include A91 and the Gogri family.
The company highlighted that it planned to use the proceeds towards boosting manufacturing capabilities, new product launches, deepen offline presence across key regions and consolidate Atomberg's position in the consumer appliance market.
The Mumbai-based startup, founded in 2012 by Indian Institute of Technology-Bombay alumni Manoj Meena and Sibabrata Das, started off making smart, energy-saving fans. It has since diversified into smart mixer grinders, water purifiers and other home appliances, for which it needs fresh capital, the people said.
With a presence across online and offline distribution centers and a diversified product mix, the company's revenues have been steadily increasing. Das highlighted that the company has crossed ₹1,000 crore in revenue in FY25 in a LinkedIn post earlier this year.
In FY24, it reported a revenue of ₹864.6 crore as compared to ₹649 crore a year earlier. Its losses widened to ₹203.4 crore from a loss of ₹138.4 crore in FY23, Tracxn data showed.
Redseer estimated that the overall Indian appliances and electronics market is set to nearly double from $75 billion in 2024 to $130-150 billion by 2029 at a compounded annual growth rate of 12-15%.
This will be driven by consumers increasingly seeking convenience-led lifestyle, awareness around health and wellness which is expected to aid demand for appliances like air fryers, juicer-grinders, and purifiers and premiumization purchasing patterns across the board, the consultancy firm said in a report last month.
