Nobel Hygiene Secures ₹170 Cr Investment from Neo Asset Management

Nobel Hygiene, India’s leading homegrown player in the disposable personal hygiene segment, has successfully raised close to ₹170 crore (approx. USD 20 million) from Neo Asset Management, the investment arm of Neo Group. This landmark funding marks a major step in Nobel Hygiene’s growth strategy as the company prepares for its forthcoming Initial Public Offering (IPO).

This funding round, comprising both primary and secondary capital infusion, is aimed at strengthening Nobel Hygiene’s leadership in the adult diaper segment, expanding its flagship brands, and widening its distribution footprint across the country. The company, already backed by earlier investments from Quadria Capital and Sixth Sense Ventures, has significantly invested in state-of-the-art manufacturing and built a robust leadership team.

Kamal Johari, Managing Director and Promoter of Nobel Hygiene, emphasized that the investment is more than just financial backing—it reflects a shared vision for growth and category leadership. “This strategic partnership with Neo Group enables us to enhance our consumer engagement, fortify our distribution networks, and elevate our core brands—Friends (adult diapers) and Teddyy (baby diapers). We are also thrilled by the return of Mr. Nitin Agarwal, whose industry insight and alignment with our mission will be invaluable.”

Neo Asset Management, one of India’s fastest-growing alternative asset managers, oversees over INR 11,000 crore in assets, spanning private equity, credit, and real assets for institutions and family offices. Neo’s private equity division is led by Nitin Agarwal, a former board member of Nobel Hygiene, whose re-entry into the company’s cap-table highlights strong investor confidence.

“We believe in Nobel Hygiene’s vision and the team’s ability to scale the company into one of India’s most admired hygiene brands. Friends has not only set product benchmarks but also contributed significantly to elder care awareness,” said Nitin Agarwal, Head of Private Equity at Neo.

With this round, Neo becomes the third institutional investor in the company, joining Quadria Capital and Sixth Sense Ventures, further underscoring the long-term potential and market leadership of Nobel Hygiene.

Having pioneered India’s adult diaper category, Nobel Hygiene boasts a 25-year legacy and over 40% market share in the segment. Its flagship brands—Friends for adult care and Teddyy for babies—have established a strong presence across traditional retail and digital platforms.

Hemant Daga, CEO of Neo Asset Management, remarked, “Our goal is to back India’s most promising entrepreneurs and enable them with long-term capital. Nobel Hygiene stands out in the fast-evolving hygiene space, and we’re excited to support their next phase of growth.”

India’s disposable hygiene sector is witnessing a transformation fueled by rising health awareness, income growth, and increased demand for hygienic living. While the baby diaper segment has matured, the adult incontinence product market is emerging as a key growth area. With an aging population and growing awareness, the adult diaper category is expected to become a $1 billion market by 2030, expanding at a 25% CAGR.