Farmley, a full-stack nuts and dry fruits brand, has raised $40 million in a Series C round led by L Catterton, the private equity firm backed by luxury goods giant LVMH.
Existing shareholders such as DSG Consumer Partners also participated in the fundraising.
Established in 2017 by IIT graduates Akash Sharma and Abhishek Agarwal, Farmley claims to have built deep backend linkages with domestic and international farming communities to source premium-quality nuts and dry fruits.
The startup also offers trail mixes, makhanas [fox nuts], and natural desserts, besides 100% maida [refined flour]-free pasta.
Farmley products are also available in select international markets such as the US, the Middle East, and Australia.
Other investors in the firm include Omnivore, Alkemi Growth Capital, Trifecta Capital, Jindal Group, Concatenate Advest Advisory, Lilyvale Solar Farm, and Samunnati.
Farmley’s funding points to increasing investor interest in healthier snack brands as consumers prioritise natural ingredients and low-fat content over traditional snacks. The dried fruits and nuts segment of India’s healthy snacking market is expected to expand by around 14% annually over the next six years to cross $8.5 billion by 2031.
Last year, Hyderabad-based millet-based snack brand Troo Good raised about $8.6 million (Rs 72 crore) from Oaks Asset Management, with participation from Puro Wellness and V Ocean Investments. Separately, Anushka Sharma-backed healthy snacks and meals brand for children Slurrp Farm raised Rs 59.9 crore ( $7.2 million approximately) in a fresh round of investment from new and existing investors.
So far, L Catterton has parked capital in India through its Asia fund and counts Drools Pet Food, Sugar Cosmetics, and PVR Cinemas among its portfolio companies. In the past, it had also invested in Fab India. It exited the ethnic retailer in 2016.
Last year, DealStreetAsia reported that L Catterton is seeking to raise around $500 million for its first India-dedicated fund after announcing a tie-up with former Hindustan Unilever CEO Sanjiv Mehta.
