Ahmedabad-based ice cream brand Hocco has closed the second tranche of its Series B funding round with ₹115 crore ($13.7 million) raised at a ₹2,000 crore ($240 million) post-money valuation, led by existing investor Sauce VC. This infusion, announced on September 28, 2025, comes four months after the first tranche of $10 million (₹85 crore) in May 2025, bringing the total Series B to over ₹200 crore and cumulative funding to $30 million across multiple rounds. Founded in October 2023 by the Chona family—veterans of the Havmor sale to Lotte for ₹1,020 crore in 2017—Hocco is on track to cross ₹500 crore in FY26 revenue, up from ₹220 crore in FY25, driven by quick commerce and general trade.
In India’s $5 billion ice cream market—growing 15% annually amid rising disposable incomes and e-commerce—Hocco’s rapid scaling positions it as a disruptor against Kwality Walls and Amul, blending legacy expertise with modern flavors like protein-enriched scoops. For investors eyeing consumer brands, F&B entrepreneurs, and market watchers, this valuation jump from ₹600 crore in June 2024 signals strong momentum, though execution in expansions will be key. Let’s break down the funding, growth story, and strategic roadmap.
Funding Details: Sauce VC Leads Extension, Valuation Doubles in Months
The ₹115 crore tranche builds on Hocco’s aggressive fundraising, with Sauce VC—backers of Mokobara and The Whole Truth—deepening its stake to fuel national rollout. The round’s structure emphasizes primary capital for capex, with no secondary sales mentioned.
Investor and allocation snapshot:
| Investor | Role/Amount | Valuation Impact |
|---|---|---|
| Sauce VC | Lead; undisclosed amount | Post-money: ₹2,000 Cr (doubled from ₹600 Cr in June 2024) |
| Chona Family Office | Co-lead (first tranche); follow-on | Retained promoter control; legacy Havmor expertise |
| Other Participants | Angels (e.g., Ritesh Sidhwani, Farhan Akhtar from June 2024) | Strategic for branding; total Series B: ₹200+ Cr |
Funds will prioritize:
- Manufacturing Scale-Up: Triple capacity to 3 lakh liters/day by summer 2026, adding North India plants.
- Market Penetration: Enter Rajasthan, Maharashtra, Delhi-NCR, Punjab, and Chhattisgarh; 80% revenue from general trade, 15% from quick commerce (e.g., Blinkit).
- Working Capital: Support 200+ distributors and 250 sales teams for ₹700 crore FY27 target.
Hocco’s Growth Trajectory: From Startup to ₹500 Crore Revenue Chaser
Launched in October 2023 with 40,000-50,000 liters/day capacity, Hocco hit ₹220 crore in FY25—exceeding projections—via innovative flavors (e.g., mango, pistachio) and quick commerce (20% revenue). H1 FY26 revenues are on pace for ₹300 crore, with 80% from Gujarat but expanding nationally.
Milestones:
- June 2024: ₹100 crore raise at ₹600 crore valuation; Bollywood angels boost visibility.
- May 2025: $10M first Series B tranche; eyes ₹420-450 crore FY26.
- September 2025: ₹115 crore extension; 3x capacity by 2026.
In a market where HUL eyes spinning off its ₹2,000 crore ice cream arm, Hocco’s 15% quick commerce reliance disrupts traditional retail.
Implications: A Sweet Spot in India’s Ice Cream Boom
For investors, Hocco’s valuation leap (3x in 15 months) validates consumer bets amid 15% CAGR, with Sauce VC’s repeat signaling confidence. F&B Players gain from Hocco’s functional scoops (protein, low-cal), targeting urban millennials. Market Dynamics: Quick commerce’s impulse buys could capture 20-25% share, pressuring incumbents like Amul.
Risks: Execution in new markets and competition from Noto/Get A Way, but Chona’s Havmor legacy (₹450 crore pre-sale) mitigates.
Conclusion: Hocco’s ₹115 Crore Scoop – Scaling a New-Age Empire
Hocco’s ₹115 crore raise at ₹2,000 crore valuation is a testament to its blistering pace—from ₹220 crore FY25 revenue to ₹500 crore FY26 target—fueled by family savvy and VC backing. As it triples capacity and eyes national dominance, Hocco could redefine India’s ice cream playbook, blending tradition with quick commerce cool. ET
