Get-A-Whey
Initial Ask – Rs. 1 Cr. for 8% equity at a valuation of Rs. 12.5 Cr.
About the Company
Launching 1st brand in the segment of healthy ice-creams, this company currently serves in cities like Mumbai, Delhi, Chennai, Pune and Gurugram. They have a range of ice-creams which are sugar free and have 4X protein component. Currently dealing with 12 flavours, out of which 4 are keto-friendly, they are also planning on launching low-calorie ice-cream sandwich and vegan ice-creams.
They serve their customers through supermarkets, online food delivery platforms and through their own website for establishing D2C base. Having a monthly sales of 22500-25000 units, they make 70% sales through online platforms, out of which 80% is done through their own website. For enhancing their operations and getting a wider reach, they have around 22 cloud kitchens all over the country, and claimed to make it 45 till December 2021.
Past performance of the Company
They had an initial revenue of Rs. 15 lacs from Instagram selling in the year 2018-19. Post this, they made Rs. 50 lacs in the year 2019-20, followed by Rs. 1.6 Cr. in the year 2020-21. This year, they made a sales of Rs. 2.2 cr till November, 2021 and project to end the year in March 2022 with a revenue of Rs. 3.6 Cr. Seeing these huge figures, its evident that they enjoy a huge margin, which is 69%.
Industry Overview
With an expectation of the growth of the healthy ice-cream sector by 9.8% till 2030 globally, this industry shows a lot of potential. There are a number of factors to be considered when we talk of this segment. Talking about the pros, health consciousness among consumers at large has changed their eating habits and preferences. They now prefer low-calorie, sugar free, vegan based products, whose demand has been rising especially on account of Covid. However, the premium pricing of these ice-creams cannot promise to have a humongous reach at the moment, especially in nations like India. Also, the problem of cold storage is a bit difficult to tackle here.
There are a few players in this segment like Nomou, Minus 30 and Noto, which are giving tough competition. But, the real question is whether these brands can together tackle the companies like Amul, Mother Dairy, Havmor, and Kwality Wall’s!
Offers made, and the one accepted:
1. First, Vineeta Singh offered Rs. 1 Cr. for 15% of the equity of the company.
2. Post this, Aman Gupta and Ashneer Grover came in to offer the same amount at 12% equity of the company. Vineeta was ready to match their offer.
3. This was followed by all three mentioned above coming in together but for 15% equity of the company.
This was countered by the founders by asking for either Rs. 1.5 Cr for 15% or Rs. 1 Cr. for 12% equity of the company. However, the deal was closed at the original offer by the 3 sharks.