EcoSoul Home raises $20 Mn through equity and debt

Sustainable home essentials brand EcoSoul Home has raised $20 million in combined equity and debt financing. The Series B round was led by Accel and strategic investors Bajaj Financial Securities Limited alongside StartupXseed Ventures, JSW Ventures, and CK Birla Group, with continued participation from Singh Capital Partners. Additional venture debt was secured from Alteria Capital and SIDBI.

With the current fund raise, Ecosoul has now raised more than $50M cumulatively to power its market leadership across multiple geographies.

The proceeds will be utilized to enhance manufacturing capabilities across its three production facilities in India while strengthening its omni-channel retail presence in key markets including the United States, United Kingdom, Europe, GCC countries, and India, EcoSoul Home said in a press release.

As per market research, the sustainable home products market is projected to reach $663.9 billion by 2034, growing at a CAGR of 5.5%.

Co-founded in 2020 by Rahul Singh and Arvind Ganesan,  EcoSoul offers eco-friendly home essentials made from sustainable materials such as palm leaves, bamboo, sugarcane bagasse, and PLA. Its product range includes items like bamboo chopping boards, biodegradable cups, and palm leaf plates.

The company boasts a portfolio of over 1,800 products, available across 50+ retail stores in more than seven countries, including India, the USA, Vietnam, and China.

Rahul Singh, Co-Founder and CEO of EcoSoul Home, said, "This funding milestone represents a pivotal moment in our mission to become one of the world's largest fully compostable home essentials brands. With the backing of such marquee investors, we are well-positioned to accelerate our growth and make sustainability mainstream by bringing sustainable living solutions to households and businesses across the globe."

EcoSoul reported over 40% year-on-year revenue growth, reaching Rs 26.8 crore in FY24, as per its India filings. The company, however, posted a loss of Rs 4.6 crore during the same period.

Noida and US-based Ecosoul competes with other sustainable home essentials startups such as CHUK, Delhi-based Ecoware, and Mumbai-based Dinearth, among others.