Guilt-free dessert start-up NOTO has raised ₹21 crore in the pre-Series A funding round led by Equentis Angel Fund. The round had also seen participation from Inflection Point Ventures (IPV), JITO, Signal Ventures, and others.
The company’s plans to deploy the funds to scale its production, expand distribution, launch offline stores, and forge strategic partnerships to expand its brand presence across key markets.
NOTO also plans to introduce new product lines and bolster its omnichannel distribution strategy with the launch of its own ice cream parlours to deepen its presence in Tier-1 and Tier-2 cities and further strengthen its footprint in the quick commerce space to meet rising demand.
Founded in 2019, by Varun Seth and Ashwini Seth, Noto has raised ₹4 crore in its pre-Series A round. The start-up counts Titan Capital, Rockstud Capital, WEH Ventures, Lead Angels, as its investors. It competes with brands such as Go Zero, NIC, Get-A-Way and Minus 30.
With rising disposable incomes, the spending on food and beverages is on the rise in the country. Besides, the rise in healthy and conscious eating provides a big opportunity for brands like NOTO.
The country’s food and beverage market is expected to grow to $68 billion by 2030, clocking a CAGR of 25 per cent by 2030. Investors are bullish on start-ups operating in the segment. Recently, Go Zero raised ₹30 crore, Hocco saw its valuation touch the ₹600 crore mark within a few months of its inception.
(with inputs from bl interns Nethra Sailesh and Rohan G Das)