Boult Audio plans PE fundraising in FY25

“We will look at capital from private equity next year… we may look at offloading a stake anywhere between single digit to early teens. We won’t dilute too much because this will be growth-stage capital and not early-stage. We’re looking for exponential growth since our scale is going to be global,” said co-founder Varun Gupta. The firm has appointed an investment banker to scout for PE investors, he added.

Since the company was profitable and has so far not raised capital externally, barring working capital through debt, it is not in a hurry to tap into private equity, especially amid the funding winter, Gupta told Mint.

Boult Audio intends to enter the US and European markets from next year, having already a presence in the UK since July this year. International sales made up for less than 1% of the ₹600 crore revenue, but it will focus on overseas markets as it offers better margins and is a ready market for products with higher average price, or around $30 more than the domestic market with average prices for true wireless headsets at ₹1,200-1,500.

The Gurgaon-based company ventured into the smartphone or wearables segment a year ago. Last month, it started growing its offline presence for both its hearable and wearables portfolio.

Gupta said while sales were expected to double to ₹1,000 crore by March, it is looking to clock sales of ₹2,000 crore in FY25 and ₹3,000 crore by end FY26. To achieve its targets, it will be doubling its production capacities from existing one million units per month, and will use four contract manufacturing facilities employing 2,500 people. Boult Audio will also get into home audio products like sound bars, and IoT products such as pedometers and rings, as well as products with tech on clothing, he said.

“Exciting news! Mint is now on WhatsApp Channels 🚀 Subscribe today by clicking the link and stay updated with the latest financial insights!” Click here!

Updated: 17 Oct 2023, 11:57 PM IST