NOTO Ice Cream Secures ₹15 Crore Funding to Expand in Tier I and II Cities

• ByStartupStory     |    February 21, 2025

Mumbai-based NOTO Ice Cream, known for its guilt-free desserts, has raised ₹15 crore in its latest funding round led by Inflection Point Ventures (IPV), with participation from JITO and LetsVenture. The company plans to use the fresh capital to expand its presence in Tier I and Tier II cities, introduce innovative flavors and formats for the summer season, enhance marketing on food delivery platforms, and upgrade its infrastructure to meet growing demand.

Founded in 2019 by Varun Sheth and Ashni Shah, NOTO Ice Cream has positioned itself as a leading brand in the healthy dessert segment. Its products are designed for health-conscious consumers who seek indulgence without compromising on nutrition. The brand offers ice creams and desserts with no added sugar and minimal calories, filling a gap in the market for guilt-free indulgence. The company currently operates in Mumbai, Delhi, Bengaluru, Hyderabad, Chennai, and Pune and is now set to expand into Ahmedabad, Kolkata, and Lucknow.

The new investment will allow NOTO to strengthen its distribution network and boost its presence on quick-commerce platforms such as Swiggy, Zomato, Zepto, Blinkit, Instamart, and Flipkart. With consumers increasingly turning to fast delivery services for their daily needs, the company aims to improve its logistics to ensure a seamless supply chain and faster deliveries. In addition, part of the funding will go toward scaling production capacity and enhancing cold-chain infrastructure, enabling the company to meet rising demand across multiple regions.

Speaking about the funding, Varun Sheth, Co-Founder & CEO of NOTO, expressed excitement about the company’s expansion plans. He emphasized that the investment would help the brand reach new consumers while staying true to its core philosophy of “Eating, Not Cheating.” He further stated that NOTO remains committed to redefining the ice cream experience with its healthier and innovative dessert offerings.

The Indian ice cream industry has been experiencing rapid growth, with the market valued at ₹228.6 billion in 2023 and expected to reach ₹956 billion by 2032. Rising disposable incomes, increasing awareness of healthier food choices, and the expansion of quick-commerce platforms are driving demand for premium, health-focused desserts. With its strong product lineup and expanding footprint, NOTO is well-positioned to capitalize on this growing trend.

NOTO has also received recognition from several industry platforms. The brand won the “Product of the Year” award at the Channelier FMCG Awards in 2022 for its Chocolate Mini Bites and was named “Most Loved Brand on Social Media” and “Top Consumer Packaged Brand” in 2023 by LBB x Nykaa. It also received the “Best Vegan Ice Cream” award for its Vegan Mango Raspberry flavor at the PETA India Vegan Food Awards in 2023.

The company has garnered attention not just from investors but also from celebrity backers, including John Abraham, Rannvijay Singha, and Kunal Bahl, who share its vision of making healthier desserts mainstream.

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