Pet food brand Drools gets a $60 million dollar investment boost

• Private equity firm L Catterton’s investment represents 10% of the company’s valuation.
  
• The funding will be used to enhance manufacturing capabilities to meet the growing demand for high-quality pet food products.
  
• Supported by a sales force of 1,800 employees, Drools products are available through a network of 34,000 retail outlets across India.
  

Drools Pet Food on Tuesday said consumer-focussed private equity firm L Catterton has invested $60 million in the pet food brand, valuing the company at $600 million.

Established in 2010 by Fahim Sultan, Drools Pet Food has captured 38% market share in India. The brand exports its products to over 22 countries, including Australia, Israel, and the UAE. It plans to enter the Russian market this year, and expand into the United States in the near future.

"This partnership will unlock a new phase of growth as India’s developing pet market matures across metros, as well as Tier 1 and Tier 2 cities. This funding milestone enables us to further solidify our position in the market and continue our journey towards creating a positive impact in the pet food industry,” said Drools Pet Food founder Sultan.

The funding will be utilised to enhance manufacturing capabilities to meet the growing demand for high-quality pet food products. It will also help Drools ramp up its production capacity, streamline operations, and strengthen its distribution network. The company will focus on expanding its retail stores network while leveraging e-commerce channels to reach a wider customer base.

Supported by a sales force of 1,800 employees out of a total workforce of 3,400, Drools products are currently available through a network of 34,000 retail outlets across India. The company leverages technology platforms such as SAP, and Salesforce to streamline its operations. Drool has three production facilities, and a consolidated warehouse spanning 8-lakh sq. ft.

This infrastructure enables the brand to cater to a wide range of pets, offering a portfolio of 650 stock keeping units (SKUs), with half of the prescription diet market share attributed to Drools. Additionally, Drools holds the distinction of being India's leading cat food brand.

“Its (Drools’) focus on product quality has helped it become a brand that has gained a reputation for providing high-protein content at value-for-money price points, cultivating a very loyal base of customers. We look forward to working closely with the Drools team to further scale its business,” said Anjana Sasidharan, partner, L Catterton Asia.

At present Drools exports to 22+ countries, and some select countries in the African continents.