PremiumMother Sparsh is an ayurvedic and natural personal care start-up with focus on mother and baby care segments. In November 2021, ITC had made its maiden investment in a direct-to-consumer brand after it picked up a 16% stake in Mother Sparsh for ₹20 crore
NEW DELHI: ITC LTd. has increased its stake in baby and mother care brand Mother Sparsh to 22% for an estimated ₹13.50 crore, according to a regulatory filing by the company.
“This has reference to our letters dated 26th November, 2021, 18th December, 2021 and 15th March, 2022 in connection with acquisition of 16% of the share capital of Mother Sparsh (on a fully diluted basis). We write to advise that the company today has entered into an agreement to acquire further 1000 compulsorily convertible preference shares of ₹10 each of Mother Sparsh. The said shares, once acquired, will take the Company’s shareholding in Mother Sparsh to 22% (on a fully diluted basis)," ITC said in its filing late on Tuesday.
The said acquisition is in line with the company’s continued interest in the fast growing direct to consumer (D2C) space in the personal care category.
Mother Sparsh is an ayurvedic and natural personal care start-up with focus on mother and baby care segments.
In November 2021, ITC had made its maiden investment in a direct-to-consumer (D2C) brand after it picked up a 16% stake in Mother Sparsh for ₹20 crore. The acquisition is in line with the ITC Next strategy that will see the company develop more digital-first fast moving consumer goods (FMCG) brands, the company had then said.
Mother Sparsh sells products such as biodegradable wipes as well as plant-powered range of personal care products for babies.
In a separate statement on Wednesday, Mother Sparsh said it was in “advanced discussions" to raise ₹90 to ₹100 crore in Series B funding. Mother Sparsh will invest in enhancing research and development as well as step up innovation in the baby and mom care segment.
“An intrinsic innovative streak as a brand and the ethos of crafting products on need-based proposition by the virtue of nature-oriented solutions is at the heart of Mother Sparsh. Our recurrent funding aims to strengthen this mission through R&D in the space and offering one-of-its-kind solutions for needs of mothers and their little ones," Himanshu, co-founder and CEO, Mother Sparsh, said.