The Ayurveda Co (T.A.C), a direct-to-consumer (D2C) ayurvedic beauty and personal care business, has raised INR 100 Cr in its Series A fundraising round, which was headed by consumer-focused venture fund Sixth Sense Ventures.
Actress Kajal Agarwal, a few firm founders, and venture debt funds all participated in the round. T.A.C stated that a majority of the funding was raised in equity but did not reveal how the round's equity and loan funding were split up.
The announcement comes four months after T.A.C revealed that actress Aggarwal had joined its Series A investment round as an investor.
The D2C brand intends to employ the additional money to increase its offline presence, enhance internal R&D, better product manufacture, and quicken digital awareness of ayurveda and TAC.
T.A.C is a company that produces ayurvedic products in a variety of categories, including skincare, haircare, natural makeup, and more. It also produces wellness items including immune system boosters and other supplements. Singh and Param Bhargava founded the company in 2021.
By partnerships with other retail establishments like Health & Glow as well as opening its own retail outlets, the company has built a physical presence. There are currently physical touchpoints for T.A.C in more than 18 cities and 15 states, including Punjab, Uttar Pradesh, Delhi NCR, and Rajasthan.
In states like Gujarat, West Bengal, and Madhya Pradesh, among others, T.A.C is now striving to strengthen its footprint in Tier II and III cities.
In addition to its own website, T.A.C also markets its goods through e-commerce sites including Flipkart, Amazon, Nykaa, and Purplle.
T.A.C is expanding its internal R&D labs, according to Singh, and is seeking to further deepen its product knowledge.
“This Series A funding will enable the company to further its mission of bringing ayurvedic wellness to a wider audience, especially millennials and Gen Z to make Ayurveda mainstream,” the cofounder said in a statement.
T.A.C raised $3 million from Wipro Consumer Care Ventures in March of last year, with the help of investors like Rahul Gupta of Tricity Technologies and Harsh Gupta of the School of Design and Entrepreneurship. The business has so far raised about $115 million.
T.A.C stated in the statement that it experienced over 300% growth during the previous 10 months, which it claimed was unprecedented growth.
In the core ayurveda beauty and personal care (BPC) market, T.A.C. contends with companies like Khadi Essentials Healthcare, The Ayurveda Experience, Forest Essentials, and others. It competes with D2C beauty brands like mCaffeine, Wow Skin Science, and Mamaearth in the larger BPC market.
According to a report by Inc42, the BPC segment is anticipated to continue being one of the ecommerce industry's fastest-growing subsectors. The market for this niche is anticipated to develop at a compound annual growth rate (CAGR) of 27% from 2022 to 2030, reaching a value of $28 Bn.