Nobel Hygiene raises Rs 170 Cr from Neo Asset Management ahead of IPO

Hygiene product manufacturer Nobel Hygiene on Friday said it has bagged around Rs 170 crore ($20 million) in a funding round led by Neo Asset Management, the alternative investment division of Neo Group.

The primary and secondary capital infusion will help Nobel Hygiene scale its distribution, deepen its penetration into the adult diaper market, and optimise operations across its product range.

This funding round comes as Nobel Hygiene gears up for its initial public offering, signaling continued institutional interest in the disposable hygiene sector and the company’s planned growth trajectory.

Nobel Hygiene's Managing Director, Kamal Johari, emphasised Neo Group's investment as a reinforcement of their commitment to lead and grow the adult diaper category in India. "With this support, we are ready to amplify our consumer outreach, reinforce our distribution channels, and further solidify the leadership of our core brands, Friends adult diapers and Teddyy baby diapers. We’re also excited about the strategic alignment and deep sectoral understanding that Nitin Agarwal brings back to the table,” he added.

Founded in 2000, Nobel Hygiene is a key player in the disposable hygiene sector, with its flagship brand Friends holding over 40% market share. It also manufactures baby diapers under the Teddyy brand. With ISO, WHO-GMP, and CE-certified facilities in Nashik and Baroda, the company operates a nationwide distribution network of over 1,000 dealers and exports to more than 20 countries.

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The investment brings Neo Asset Management on board as Nobel Hygiene’s third institutional investor and marks the return of former board member Nitin Agarwal, now head of Neo’s private equity arm.

“Supporting entrepreneurship in India is our mission, and we hope to foster growth and innovation in India by providing long-term capital to high-growth companies. In line with this vision, we are delighted to partner with Nobel Hygiene , a market leader in the adult diaper segment and a prominent homegrown brand in India’s rapidly expanding personal hygiene sector,” Hemant Daga, CEO, Neo Asset Management, said.

Neo Asset Management manages over Rs 11,000 crore in alternative assets, offering investment solutions across private equity, private credit, and real assets to ultra-high-net-worth individuals (UHNWIs), family offices, and institutions.