Pilgrim is one of India’s fastest growing direct-to-consumer (D2C) beauty and personal care brands. The company has raised INR 200 crore (~USD 23 million) in its latest funding round. The capital was raised at a pre-money valuation of INR 3,000 crore (~USD 345 million) through a mix of primary and secondary transactions.
Existing and New Investors Back the Brand
The round saw participation from existing and new investors. Existing investors are Narotam Sekhsaria Family Office (NSFO), Vertex Ventures Southeast Asia and India (SEAI), Sattva Family Office and Mirabilis Investment Trust. New investors Vertex Growth Fund and Anicut Equity Continuum Fund also joined the round. With this latest funding, Pilgrim has raised approximately INR 421 crore across primary and secondary rounds.
Rapid Growth and Expanding Portfolio
Pilgrim was founded in 2019 by Anurag Kedia and Gagandeep Makker. The company has a portfolio of over 250 products for skincare, haircare and fragrances. The company claims that it uses natural ingredients and their products are sulphate and paraben free.
Pilgrim’s products are available on its website, mobile app and leading e-commerce platforms like Amazon, Nykaa, Flipkart, Zepto, Blinkit and Instamart. The brand is also increasing its offline presence with 10 exclusive brand outlets (EBOs) in cities like Mumbai, Bengaluru, Hyderabad and Thane. The company is planning to double its offline presence with 10 more outlets by the end of 2025.
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Use of the Funds
The new capital will be used to deepen Pilgrim’s offline distribution network and enhance research and development capabilities. The brand plans to double its presence across over 10,000 stores in 150 cities in the next year.
Pilgrim has a gross annual revenue run rate (ARR) of over INR 800 crore and is looking to reach ARR of INR 1,000 crore by 2025. The company’s operating revenue grew to INR 198.79 crore in FY24 from INR 76 crore in FY23 and losses were contained at INR 26.34 crore. Offline business is expected to break even in 6-9 months.
“This will help us to grow our offline and R&D to match what consumers want today. We are grateful to our investors for the faith and it’s a thumbs up to our vision and a kickstart to what’s next,” said co-founder Gagandeep Makker.
Pilgrim is also looking at international markets, where it already has presence in UAE, Singapore and Malaysia. Plans to enter US and Australia soon.
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Looking Ahead
Pilgrim’s funding comes at a time when investors are queuing up for India’s D2C space, which is projected to be a USD 300 billion market by 2030. With brands like Mamaearth, MCaffeine, Wow Skin Science and Plum Goodness, Pilgrim is all set to continue its growth and plans to be profitable by FY26.