The third fund of early-stage venture capital firm Fireside Ventures has closed, raising a total of Rs 1,830 crore ($225 million), the largest investment the company has ever raised.
Fireside Ventures, a direct-to-consumer (D2C) brand investor, was founded in 2017 and has secured around $50 million for Fund I and $118 million for Fund II.
This fundraising effort takes place at a time when the global funding environment is slowing. However, the majority of the investors in Fireside Ventures’ third fund were domestic.
They include Sharrp Ventures, ITC Limited, Emami Limited, Self-Reliant India Fund, Investment Corporation of Dubai, SBI, Premji Invest, Waterfield – Fund of Funds, and a number of startup entrepreneurs.
Fireside Ventures to invest in next generation of consumer brands
Kanwaljit Singh, Managing Partner, Fireside Ventures said, “Fireside Ventures was created with a very clear vision—to invest in the next generation of consumer brands, a space that was witnessing the start of disruptive changes. Five years later, we are delighted to see the magnitude of change.”
BoAt, The Sleep Company, Fitterfly, Mamaearth, Yoga Bar, Samosa Singh, SLAY Coffee, Bombay Shaving Company, Tasty Tales, Kwik 24, and other well-known brands are among the 31 brands in which Fireside has invested since its establishment.
By 2025, the market for direct-to-consumer brands in India is expected to reach $100 billion, according to the venture fund. This growth will be fueled by the pandemic’s acceleration of trends like ecommerce adoption, widespread attention to health and wellness, and normalisation of virtual experiences. It was mentioned that D2C brands are in direct competition with heritage players in important areas like fashion, food, and beverage, and beauty and personal care.