Ahmedabad-based Hocco has successfully raised ₹100 crore ($12 million) in a funding round. The financing, spearheaded by the founding Chona family and existing investor Sauce VC, has propelled Hocco’s valuation to ₹600 crore. The investment round also saw participation from prominent angel investors, including Bollywood filmmakers Ritesh Sidhwani and Farhan Akhtar.
Ankit Chona, Hocco’s managing director, emphasized that the newly acquired funds will be pivotal in boosting the company’s manufacturing capabilities. “We started just eight months ago, and the response has exceeded our expectations,” said Chona. “Currently, our plant’s capacity is between 40,000-50,000 liters a day, far above our initial projection of 15,000 liters. We aim to triple this capacity to 130,000 liters per day by next summer”.
Hocco, a modern ice cream brand established in October 2023, aims to hit ₹200 crore in revenue by March 2025. The company’s rapid growth mirrors the broader expansion within India’s ₹41,000 crore ($5 billion) ice cream market, which has seen a surge of new-age brands like Noto, Get A Way, and Go Zero.
Sauce VC, known for its investments in emerging brands like Mokobara and The Whole Truth, now holds about a 10% stake in Hocco. Manu Chandra, Sauce VC’s founder, noted, “The ice cream market’s growth is driven by rising disposable incomes and the increasing popularity of quick commerce, which caters to the instant gratification needs of digitally savvy consumers”.
The Chona family previously sold their legacy ice cream brand, Havmor, to South Korean conglomerate Lotte in 2017 for ₹1,020 crores. With this new venture, they aim to replicate and surpass their past successes. Chona mentioned that Hocco’s initial growth has been largely centred in Gujarat, with a gradual expansion into quick commerce platforms since February. “Our sales through quick commerce have doubled every month,” he added.
Looking ahead, Hocco plans to extend its reach beyond Gujarat into regions like Rajasthan, Maharashtra, and the Delhi-NCR area by next summer. “Quick commerce is set to revolutionize the ice cream industry,” Chona said, highlighting its potential to meet the demand for impulse purchases through rapid delivery services. “The main challenge is the limited depth of product offerings on these platforms, but the opportunity is substantial.”
Hocco’s ambition to double its sales by FY26 reflects a confident stride towards becoming a dominant player in the national ice cream market.