Nobel Hygiene, has raised about ₹170 crore ($20 m) from Neo Asset Management, the asset management arm of Neo Group. This investment poises Nobel Hygiene for its next phase of growth as it plans to go for an IPO.
The funding round is a combination of primary and secondary infusion.
With this funding round, the leading player in disposable hygiene segment said it plans to fortify its leadership position in the market, by increasing the adult diaper market penetration, investing in its flagship brands and expanding its distribution network across the country.
With this round, Neo becomes the third institutional investor alongside Quadria Capital and Sixth Sense Ventures, further reinforcing investor belief in Nobel Hygiene’s long-term vision.
Kamal Johari, Managing Director & Promoter at Nobel Hygiene, said “This investment by Neo Group is not just a capital infusion; it’s a reinforcement of our 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 Teddyybaby diapers.”
Neo Asset Management currently manages over ₹11,000 cr of alternative assets, offering investment solutions across private equity, private credit and real assets to the UHNIs, family offices and institutions.
“We have great confidence in Kamal and his team, and we look forward to supporting them as they scale Nobel into one of India’s most respected and impactful personal hygiene companies. Their flagship brand, Friends, has not only set industry benchmarks but has also played a vital role in reducing the stigma associated with elder care. I am quite confident that together Neo and Nobel will be able to create great value for all stakeholders in the future.”, said Nitin Agarwal, Head – Private Equity at Neo.
The Indian disposable hygiene sector is undergoing rapid transformation, driven by rising awareness, improving income levels, and increased focus on health and hygiene. While the baby diaper segment has matured significantly, adult incontinence products are emerging as a high-growth opportunity. With an aging population, increased healthcare access, and awareness about adult incontinence, demand for adult diapers is poised to rise sharply in both urban and semi-urban India. The adult diaper market in India is experiencing exponential growth and is expected to become a $1 billion category by 2030, growing at a 25 per cent CAGR.
