Hocco, a burgeoning ice cream brand based in Ahmedabad, has successfully concluded a funding round amounting to Rs 100 crore ($12 million). Led by the Chona family, the brand’s promoter group, and existing investor Sauce VC, the primary capital infusion has propelled Hocco’s valuation to Rs 600 crore post-investment. Notably, the funding round also witnessed participation from notable angel investors, including film producers Ritesh Sidhwani and Farhan Akhtar.
In an exclusive interaction with ET, Ankit Chona, Managing Director of Hocco, disclosed that the raised funds will be allocated towards expanding the company’s manufacturing capacity. Despite being merely eight months old, Hocco aims to achieve a remarkable revenue of Rs 200 crore by the end of the fiscal year ending March 2025.
The Chona family’s association with the ice cream industry traces back to the sale of their legacy brand, Havmor, to South Korean conglomerate Lotte for Rs 1,020 crore in 2017, underscoring their deep-rooted expertise in the sector.
Following this successful funding round, Sauce VC now holds approximately 10% stake in Hocco. The investment firm, known for its focus on consumer-centric ventures, has previously supported emerging brands like Mokobara and The Whole Truth.
Reflecting on Hocco’s exponential growth trajectory, Chona expressed optimism about the brand’s future prospects, revealing plans to triple manufacturing capacity by the next summer, thereby reaching a capacity of 1.3 lakh litres per day.
The Indian ice cream market, estimated to be around $5 billion in size, has witnessed a surge in new-age brands seeking to carve a niche amidst established players like Amul, Mother Dairy, and Hindustan Unilever’s Kwality Walls. Hocco’s rapid expansion strategy includes leveraging quick commerce channels to tap into digitally savvy consumers beyond its core territory of Gujarat.
Chona highlighted the pivotal role of quick commerce in driving future growth, emphasizing its potential to facilitate swift expansion into adjacent geographies such as Rajasthan, Maharashtra, and Delhi-NCR. With plans to double sales in FY26 compared to FY25, Hocco remains poised to disrupt the ice cream industry landscape with its innovative approach and robust growth initiatives.
