MUMBAI: Swiss consumer goods giant Nestle has picked up a minority stake in the Indian pet food startup Drools. The Bengaluru-based company did not disclose the specifics of the deal but said it was valued at $1 billion post-investment, joining the ranks of unicorn startups. "This is a financial investment by the company, and Drools will remain strategically as well as operationally independent," Nestle said in a statement on Monday, without elaborating further.
Nestle's investment in Drools comes at a time when the broader pet food and pet care space in India is seeing a surge in growth, led by an expanding crop of millennial and Gen Z pet parents who do not mind paying more to provide quality nutrition and care for their pets. Nestle has a large pet care business (including pet food) operating under the master brand Purina, which made up about 20.7% of the company's total sales in 2024. In India, companies like Godrej Consumer Care have also forayed into the pet care market of late.
Backed by L Catterton, Drools competes with a mix of global and local pet food brands in India, including Mars PetCare and Heads Up For Tails. Drools last raised $60 million from L Catterton in June 2023. Drools is the fourth unicorn of the year after Netradyne, Porter, and JSW One Platforms.
Stay informed with the latest business news, updates on bank holidays and public holidays.
AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Start a Conversation
Post comment