Existing investor Matrix Partners India also participated in the capital raising.
Open Secret will use the funds to expand its product portfolio, build capacity, increase omnichannel distribution presence and hire senior level talent, a company executive told ET.
Founded by Ahana Gautam and Udit Kejriwal in 2019, Open Secret makes healthy cookies, chips, spreads, nuts and shake mixes.
The company’s revenue has grown 10x in the last 12 months, Gautam told ET.
“We want to be the challenger brand targeting the $10 billion snacking industry in India. We are stealing the market from established players and trying to create a niche,” she said.
Paytm founder Vijay Shekhar Sharma, Snapdeal cofounders Kunal Bahl and Rohit Bansal, and boAt CEO Vivek Gambhir are the other angel investors that have backed the company. Open Secret raised its seed round in December 2019.
“With a strategic focus on the kids’ segment and the core value proposition around un- junking, we believe Open Secret has the ability to create a strong niche for itself,” said Nikhil Vora, founder and CEO of Sixth Sense Ventures.
The healthy snacking industry is gaining traction among risk investors with companies such as Happilo, Slurrp Farm, Yoga Bar, SnackAmor and Keeros Foods raising capital in the last 12-18 months from investors to grow the business.
Direct-to-consumer brands across fashion, beauty and personal care, food and beverages and electronics are expected to rack up business worth $100 billion in the country, Avendus Capital said in a report last year.