Humpy A2
Initial Ask – Rs. 75 lacs for 4% equity at a valuation of Rs. 18.75 Cr.
About the Company
The company is an Authentic and Chemical Free Dairy product company. It carries on chemical free farming in the villages and then it produces its 100% Chemical Free dairy products.
The company provides completely A2 certified milk, which is tested on over 120 parameters. The Reports and certificates are regularly given to customers so that the consumers can ensure the quality of the products that they are consuming.
The company has a very simple Subscription based business model, where the user can download the app, and subscribe for the HUMPY A2 milk and the company will deliver it to the consumers fresh everyday.
The name has been based on the Hump which the Indian Desi Cows have, which New Jersey based cows do not have.
The products are really good tasting and and the products have a premium pricing. The products have very in-depth researched variants to provide a complete experience to the consumer.
The company has an avg gross margin of 44%. The Net Profit margin is around 1%. 80% of the revenue is from the Milk Products and 20% from the Non-Milk Products. It is currently operating only in Pune as of now. The company can expand operations in around 6 cities on an immediate basis as per its farmer networks.
Industry Overview
The normal Cow Milk which we generally consume has A1 Protien, which are generally consumed. However, the most beneficial protein is A2 Protien which is also present in the milk that kids get from their mothers.
Cow Milk is readily available, however, the nutritional value of such cow milk is not certified or tested every. There is no company which is totally operating on chemical-free organic farming. Moreover, the farmers are also being ripped off by giving lower values for milk, as the company generally use chemicals to increase the quantity of milk gained.
The industry has a huge consumer base. However, a lot of brands has also entered into the market. However, the consumers are not shown certifications
Past performance of the Company
1st year sales were Rs. 65lacs
In the 2nd year, Rs. 1.98Cr.
3rd year generated Rs. 2.02Cr. in revenue
In the 4th year, Rs.2.5Cr. were sold.
The last six months witnessed Rs.2.08Cr. in revenue
Offers made, and the one accepted:
Vineeta offered 50lacs for 10% and 25lacs as debt @12%
Ghazal offered 75lacs for 10%
Peyush offered the same as Ghazal, and then both of them joined hands.
Peyush, Ghazal and Vineeta came in to offer 1Cr for 15%, which was accepted.