D2C startup Sleepy Owl raises $6.5 million in Series A funding

Delhi-based direct-to-consumer (D2C) company Sleepy Owl has raised $6.5 million in a Series-A funding round. It was led by existing investor Rukam Capital, followed by DSG Consumer Partners, also an existing investor. Dexter Capital was the exclusive financial advisor to the deal.

Founded in 2016 by  Ajai Thandi, Arman Sood and Ashwajeet Singh, Sleepy Owl’s portfolio includes Cold Brew Packs, Hot Brew Bags, Ready-to-Drink Cold Brew Bottles, Ground Coffee, Brew Box and a range of merchandise.

The company in a press statement said that it is slated to close with an ARR of Rs 60 crore by March 2022. Sleepy Owl aims to solidify their core team, build a robust distribution network across India for increased demand of their brews, and firm up its marketing initiatives.

“The pandemic played the role of a catapult for us. It forced us to take a few steps back to aim at the target. We were agile and quick on problem-solving, and were able to get back on track with higher numbers,” Ajai Thandi, who co-founded Sleepy Owl, said. “We plan to utilize the funds to go deeper into our existing retail markets across India and add as we grow.”