India’s consumer electronic producer brand boAt is one of the fastest-growing brands in its segment. The boAt received a funding of $100 million from Warburg Pincus yesterday. This is a landmark investment deal. It indicates the trust of customers in the online brand. The boAt is popular with the name boAt lifestyle. It is considered the #1 brand in the personal audio segment. In the pandemic year also, the company was hiring the more staffs. it shows the company’s growth even in difficult times.
Future Aspects of the Deal between boAt and Warburg Pincus
Warburg Pincus focuses on growth investing. It is a New York-based private equity fund firm. The boAt deals in earphones, headphones, audio speakers, blue tooth speakers, and other sound-related devices. Affordable, stylish, and well-designed boAt devices have won the heart of consumers.
The boAt is achieving 100%+ revenue growth for several years. The boAt Lifestyle has got a good name in a segment where the competition was very tough. Global brands were ruling the audio device market but boAt still earned a good name.
The current investment will boost the confidence of boAt more. The boAt will focus more on research and development to bring the cutting edge products. Under the Make in India initiative, it will manufacture the product in India itself.
Aman Gupta, the co-founder of boAt, praised Warburg Pincus for investment. He said that it is also a piece of great news for the whole D2C segment. D2C or direct to the consumer are those companies that deliver products directly to the consumer without middlemen. Aman further said that the investment will bring our manufacturing and supply chain management plans into reality. Warburg Pincus is a new investor for boAt lifestyle.
Sameer Mehta, the co-founder of boAt, said that the company is planning to bring more innovation in the audio sector. The company is looking for more growth through Warburg investment and the government support
Investor Warburg is also very positive about the current investment deal. India unit of Warburg Pincus believes in the leadership of boAt. Warburg is very excited to work with the co-founder of boAt. Warburg India is ready to help boAt in further growth and innovation. Avendus Capital helped boAt Lifestyle to secure this deal.
About boAt Growth and Funding
Boat lifestyle was launched in the year 2016. With a total of four rounds of funding, it has collected around $170 Million of funding. The company had a target to achieve gross revenue of 500 crores in FY 2022. They achieved the magical number in FY 2020 itself. Compare to last year, the company has grown 2.5 times faster. Boat lifestyle has a plan to achieve 1000 crore gross revenue by FY 2024.
Not only in India, but boAt established itself at the global level. As per the latest report, boAt is the 5th largest wearable brand in the world. to attract more youth, boAt has chosen Bollywood celebrities like Jaqline Fernandes, Kartik Aryan, and Kiara Advani. from the Indian cricket team, boAt has signed agreements with so many young cricketers to attract the young generation. Hardik Pandya Shikhar Dhawan, Rishabh Pant are a few of them.
On average, boAt sells around 15000 units a day. The company has approximately 150 employees. MIVI, Intex, JBL, Ambrane are a few of the major competitors of boAt.