India home appliance manufacturer Atomberg raises $86m
Steadview Capital and Singapore’s Temasek Holdings have led a USD 86m funding round for Atomberg Technologies, an India-based home appliances manufacturer best known for its electric motor fans.
The Series C round, comprising new and existing shares, also featured Trifecta Capital and existing backers Jungle Ventures and Inflexor Ventures. Sibabrata Das, one of the company’s co-founders, said that A91 Partners and the Gogri family were among those making partial exits, according to Mint. The same publication reported in March that the round valued Atomberg at USD 425m-USD 450m.
AVCJ Research has records of four previous funding rounds, starting with a USD 1m commitment from a fund launched by Parampara Capital and IDFC in 2016. This was followed by a USD 10m round from A91, Survam Partners and Whiteboard Capital in 2019 and a USD 9.5m round from A91, Survam, and Trifecta a year later. In 2021, A91, Inflexor, and Jungle led a USD 20m investment.
Atomberg was founded in 2012 by Das and Manoj Meena, a fellow graduate of the Mumbai branch of the Indian Institute of Technology (IIT). The company’s website describes its first few years as “a blur of high-end technical products that went to prestigious clients like the Defence Research & Development Organisation, Bhabha Atomic Research Centre, and IIT-Bombay.”
From there, Das and Meena pivoted to home appliances, recognising that technology was making significant strides overseas while the industry in India hadn’t changed much in decades. Atomberg claims to be a market leader in brushless direct current electric motor (BLDC) fans. Its product portfolio includes ceiling fans, pedestal fans, wall fans, and exhaust fans, as well as food blenders and smart locks.
The new funding will go towards expanding the company’s manufacturing capabilities, developing its offline footprint, and expanding its product lines. A statement noted recent forays into smart locks, food blenders, and smart fans. Revenue has been growing 100% year-on-year in recent years. Das told Mint that he wants to reach INR 10bn (USD 121m) in revenue and turn profitable in the 2024 financial year.
“Atomberg's deep engineering expertise and focus on solving consumer problems through innovative products align perfectly with our strategy of backing the fastest-growing companies across the consumer and technology sectors in India. We believe in Atomberg’s potential to disrupt the industry and are excited to be part of their growth journey,” said Ravi Mehta, founder and CIO of Steadview.
Avendus Capital served as the exclusive financial advisor to Atomberg on the transaction.
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