Start-up invites consumers to invest; offer gets 156% subscribed

TagZ Foods, a Bengaluru-based snacking brand, which launched a Community Stock Option Plan (CSOP) to enable its consumers to invest in the start-up, saw the offering subscribed 156 per cent in just two days with nearly a thousand consumers having invested in the venture. 

The CSOP was launched on Tyke, a fintech platform that enables start-ups to transact and complete fund raising programme digitally and instantly. Tyke aims to disrupt the way angel networks, venture capital and individuals invest in businesses. 

Meanwhile, the TagZ CSOP is currently live on Tyke and consumers can invest an amount as low as Rs 5,000. TagZ Foods is one of the first consumer brands to enable its consumers to invest in the growth of the brand at an early stage. 

Interestingly, TagZ Foods recently closed an investment from the 'Sharks' on Shark Tank India and has seen a major spike in sales since then.  

In April 2021, TagZ had garnered $5,00,000 in pre-Series A funding from Dexter Angels, Agility Ventures, Venture Catalysts, Dharamveer Chouhan (co-founder of Zostel), Dhruv Toshniwal (co-founder of The Pant Project), and Arjun Vaidya (co-founder of Dr Vaidya's), among others. 

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The start-up plans to use the funds to expand its product line, production capacity and strengthen its distribution to other cities in the country. The snacking brand was founded by Anish Basu Roy and Sagar Bhalotia in 2019 and is the first brand in India to manufacture popped potato chips that have 50 per cent less fat along with international gourmet dips and a range of premium bar snacks. 

It has been registering a strong growth with 30X increase in volumes while focusing on the top 30-40 million households of the country through an omni-channel strategy that includes over 30 online partners and 2,000 offline stores. So far it has sold 40 lakh units of its products. 

"We are extremely delighted to announce our CSOPs for our consumers and partners. We have always believed in co-creating our brand alongside our consumers and this is one more step in that direction. TagZ is one of the first consumer brands to enable consumers to invest in such an early stage in the business and partner in the growth journey," said Roy. 

Prior to founding TagZ, Anish has worked with brands like Nokia and Coca Cola in various positions across Asia. 

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