Sneaker brand Comet raises Rs 42.3 crore in funding from Elevation Capital

Bengaluru-based Direct-to-consumer (D2C) sneaker brand Comet has reportedly raised Rs 42.3 crore in a Series A funding round led by Elevation Capital. 

Existing investors Nexus Ventures and AngelList India also participated in this round, contributing Rs 8.34 crore and Rs 60 lakhs, respectively.

Details of the investment?

The board of Comet approved a special resolution to issue 10 equity shares and 50,076 Series A CCPS (Compulsorily Convertible Preference Shares) at an issue price of Rs 8,445 per share. This issuance was aimed at raising a total of Rs 42.3 crore or $5 million, Entrackr reported, citing the company regulatory filing accessed from the Registrar of Companies.

Elevation Capital led the investment with Rs 33.36 crore. Following this investment, Elevation Capital and Nexus Ventures each hold 20% of the company's fresh proceeds, while AngelList India controls 2.22% of the capital.

Purpose of fundraising

The report said the startup will use the funds for capital expenditures, marketing, and general corporate purposes. These investments are expected to help the company expand its operations and enhance its market presence. 

What does Comet do?

Founded in July 2023 by Ankur Tripath, Utkarsh Gupta, and Dishant Daryani, Comet is a homegrown lifestyle sneaker brand that caters to both men and women.

The startup sells its products through its website, offering a current portfolio that includes CometX, Aeon, and Slides. Comet's TAM (total addressable market) is projected to be $22 billion, while its SAM (serviceable addressable market) is expected to reach $1.5 billion by FY 2030.

It competes with brands like Wrong, HRX, Redtape, The Roadster, Campus, Sparx, and global giants like Nike and Adidas.