Ayurvedic brand Nat Habit raises Rs 142 crore to push into Tier 2 and 3 towns

Nat Habit, a brand that sells Ayurvedic hair, skin, body and baby care products, has raised Rs 142 crore in a Series C funding round led by Trident Growth Partners, the company said in announcements reported between October 10 and October 12, 2026. Existing investors Bertelsmann India Investments, Mirabilis Investment Trust and Sharrp Ventures joined the round, along with new backers Physis Capital and Hero Family Office. The company says it will use the money to widen its product range, sell through quick commerce and physical stores, push deeper into Tier 2 and Tier 3 cities, and add manufacturing and formulation capacity.

Nat Habit is one of a group of Indian personal care brands that began online, selling directly to buyers, and are now trying to become mainstream consumer companies. That shift is expensive. Being on supermarket and chemist shelves in hundreds of towns means stock, distributors and shelf space, and quick commerce apps have become a must-have sales channel that brings its own fees and discounts. A Series C round of this size gives the company the cash to build that reach without depending only on online advertising.

The focus on smaller cities is the part that matters for India's wider economy. Buyers in Tier 2 and Tier 3 towns increasingly shop on the same apps as metro customers, and natural and Ayurvedic products sell well there because the ingredients are familiar. For a brand, these markets mean volume; for local retailers and distributors, a fast-growing brand brings new business.

The choice to expand manufacturing is also telling. Many young brands rely on contract makers. Adding in-house formulation and production capacity can protect quality and margins as a company grows, and it creates manufacturing jobs, though it also ties up capital.

For founders outside the big metros, the round is a reminder that investors are still writing large cheques for consumer brands with real revenue. Funding to Indian start-ups has been patchy in recent weeks, but rounds like this show that companies with steady sales and clear expansion plans can still raise capital.

Short-term: Expect Nat Habit products to appear more widely on quick commerce apps and in physical stores, and new product launches across its categories.

Long-term: If the expansion into smaller cities works, Nat Habit could join the larger Indian personal care brands that compete with multinational companies on supermarket shelves, and could become a candidate for a later public listing.

Who is affected: Shoppers of natural and Ayurvedic personal care products, distributors and retailers in Tier 2 and Tier 3 towns, quick commerce platforms, rival direct-to-consumer brands and investors in Indian consumer start-ups.

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