- Consumer electronics startup boAt has raised 25 crores from InnoVen Funds and is looking at revenue of Rs. 1000 Crore in FY24.
Consumer electronics startup boAt has raised 25 crores from InnoVen Funds, demonstrating the strategy of the venture debt and specialty lending company to support consumer brands that disrupt their categories.
The boAT is a lifestyle brand that produces and sells consumer electronics products such as earphones, headphones, speakers, soundbars, travel loaders, and premium durable cables. The business lists its goods through both online and offline e-commerce marketplaces.
Sameer Mehta, co-founder, boAt said, “We continue to concentrate on delivering on our brand promise to our boAtheads. Creating one of India’s leading homegrown digitally native brands has been an exciting journey but we’re more excited about the next step as we extend our product range.”
Aman Gupta and Mehta had created the four-year-old company. The boAt received some 20 crores in venture debt from BAC Acquisitions Pvt Ltd owned by Sachin Bansal in July 2019. Before that, it earned some 6 crores from Fireside Ventures in May 2018.
“BoAt is one of the high-performing companies in our portfolio that has not only risen more than 3X since we began the partnership but has continued to do so while making a profit. It’s a great case study on how to create a new-age brand through superior consumer insights, powerful marketing, and relentless execution, “said Ashish Sharma, CEO, Innoven Capital India.
Boat Lifestyle reported gross revenue of more than Rs 500 crore in FY2019-20 and aims to double the topline by FY24 backed by the country’s strong demand for products such as audio devices and accessories, a top company executive said.
“We had a target of Rs 500 crore revenue in FY21-22, we’ve already crossed that, we’ve had an exceptional year in FY20. We’ve risen 2.5X from the previous year. Since the beginning, our financial performance has been good and EBITDA positive,” said Aman Gupta, co-founder of Boat Lifestyle, told PTI.
He added that the company has a sustainable growth strategy, does not burn capital like many start-ups, and “FY23-24 is where we can earn Rs 1,000 crore.”
Amid the COVID-19 pandemic, the company has experienced a 20 per cent rise in demand for its goods.
“There was a pent-up demand that we saw because of home work (WFH), home exercise and home research. As we continue to grow our portfolio, we are experiencing a strong uptake month-on-month,” he said.