Home gardening startup Ugaoo raises Rs 47 cr

Mumbai: Home gardening startup Ugaoo on Tuesday announced a Rs 47 crore fundraise led by V3 Ventures.

Existing investors DSG Consumer Partners and RPG Ventures also participated in the Series A funding round, a statement said.

The Pune-headquartered company, which notched a profit at the operating level last fiscal, will use the funds for expansion activities including having a presence in top 10 cities and open 80 retail stores by FY30.

In F24, its revenue more than doubled to Rs 63 crore and the company presently has an annual recurring revenue of Rs 100 crore.

It operates three stores in Pune, Mumbai and Bengaluru, and also has an online presence, the statement said, adding that women between 25-60 years are its target audience.

It operates from a 25-acre farm near Talegaon on the outskirts of Pune and is planning to expand to 100 acres in the next two years on high demand.

"The Indian home and garden category is projected to grow at a CAGR of 30 per cent, opening up significant opportunities for Ugaoo," its founder Sidhanth Bhalinge said.

The company is planning new hubs in Kolkata, Kochi, Lucknow, Chennai, Guwahati, and Ahmedabad, he added.

"Ugaoo operates in a largely unorganised market and is equipped to seize substantial market share thanks to its strong brand recall, deeply integrated supply chain, and seasoned team," Arjun Vaidya, partner at V3, said.