How Airth Secured ₹96 Lakhs on Shark Tank India for Cleaner Air

How Airth Secured ₹96 Lakhs on Shark Tank India for Cleaner Air

Three points you will get to know in this article:

  • Airth transforms regular ACs into powerful air purifiers instantly.
  • Founders secured ₹96 Lakhs at ₹27.3 Crore valuation.
  • Reduces indoor pollution while cutting AC maintenance costs significantly.

About Airth

Airth logo

Airthis an Indian startup tackling indoor pollution with its world-first AC air purifier attachment. Designed to work without electricity, this innovative filter protects against PM2.5, PM10, and harmful microbes, preventing 30 grams of dust from entering the lungs annually.

Click here to visit their official website : Airth

Founded in 2020 by Ravi Kaushik and joined later by Abhimanyu Kumar, Airth’s goal is to make clean air accessible to every home in India. Priced at just ₹3,000, the product transforms ordinary air conditioners into powerful air purifiers while cutting AC maintenance costs. Its modular design makes it equally effective year-round, adapting to summer and winter needs seamlessly.

Why Airth is a Necessity in India

India faces a significant air quality crisis, with 12 of the 15 most polluted cities globally located within its borders. While outdoor pollution garners attention, AC systems often circulate external pollutants indoors, compromising indoor air quality.

Airth’s solution addresses this issue head-on. By combining HEPA technology with a unique germ-destroying coating, the filter not only traps fine particles but actively deactivates viruses and bacteria. It’s a simple installation process—taking just two minutes—making clean air a reality for over 25,000 homes already using this product.

The Science Behind Airth’s Technology

At the heart of Airth’s innovation lies its proprietary Airth Coating, a germ-killing filter powered by ingredients like polyphenols and polycationic polymers commonly found in green tea. These components rupture microbes through precise molecular binding.

Key Features of Airth :

  • No Electricity Required: Unlike conventional air purifiers, Airth uses zero additional power.
  • High Efficiency: Filters PM2.5, PM10, and microbes with reduced pressure drops.
  • Tested and Certified: Validated by IIT Kanpur and IIT Delhi for superior performance.
  • Future-Proof: Pipeline products for car ACs and building-wide air conditioning systems.

Airth’s Financial Hightlights

Airth’s Sales and Revenue :

  • FY23-24 Revenue: ₹2.1 Crores
  • FY24-25 (Till October): ₹2.2 Crores
    • October 2024 Net Sales: ₹44 Lakhs
    • November 1–9, 2024 Gross Sales: ₹40 Lakhs
  • Projected FY24-25 Revenue: ₹6–7 Crores

Airth’s Revenue Streams :

  • E-commerce (Amazon): 70–80% of total sales.
  • Direct Website Sales: Remaining online contributions.

Airth’sUnit Economics :

  • Product Price: ₹2,200
  • Cost of Goods Sold (COGS): 26%
  • Platform Fees: 27%
  • Logistics Costs: 36%
  • Customer Acquisition Cost (CAC): 1%
  • Fixed Costs: 85%
  • EBITDA Margin: 16%

Airth Ownership and Funding Breakdown

Airth’s strong ownership structure, with Ravi Kaushik holding the majority, demonstrates a committed leadership team ready to scale the business.

Ownership Structure :

  • Ravi Kaushik (Co-founder): 64%
  • Abhimanyu Kumar (Co-founder): 2%
  • Investors: 17%
  • Director: 3%
  • ESOPs: 7%
  • IIT Kanpur: 4%
  • Mentor: 2%
  • Kanwal Enterprises: 1%

Total Funding Raised :

  • ₹3.3 Crores

Airth Negotiation on Shark Tank India

When Airth pitched its vision to the Sharks, the product’s potential to improve indoor air quality stood out. However, concerns about the equity structure and scalability created heated discussions.

Shark Offers and Negotiations :

  • Shark Vineeta Singh: ₹60 Lakhs for 2% equity.
  • Shark Anupam Mittal: ₹1 Crore for 5%, wanting a stake in the growing category.
  • Shark Varun Alagh: Opted out due to concerns about scaling the business side.
  • Shark Peyush Bansal: Praised the idea but bowed out, citing issues with the capital table.
  • Shark Aman Gupta: Matched Anupam’s offer of ₹1 Crore for 5%.

Counter and Final Deal of Airth:

The founders countered with ₹96 Lakhs for 3% equity, valuing the business at ₹32 Crores. After further deliberation, Aman and Vineeta teamed up to offer ₹96 Lakhs for 4%. Anupam revised his offer to ₹2 Crores for 10%. Finally, Aman and Vineeta adjusted their offer to ₹96 Lakhs for 3.7%, valuing the business at ₹27.3 Crores, which the founders accepted.

Key Challenges Highlighted by the Sharks

While the product’s impact was undeniable, the Sharks raised several concerns:

  1. Scalability Issues: Who would drive the business side of scaling?
  2. Capital Structure: Complex equity ownership made some Sharks hesitant.
  3. Marketing Strategy: Heavy reliance on Amazon left room for diversifying revenue streams.

Airth’s Roadmap for the Future

With the Shark Tank funding, Airth plans to:

  • Expand Product Range: Launch car AC filters and large-scale solutions for buildings.
  • Grow E-commerce Channels: Boost direct website sales to reduce platform dependency.
  • Enhance Marketing Efforts: Invest in reaching untapped markets across India and beyond.

Airth’s ambition to create a new category in air purification could make them a dominant player in the market.

While challenges remain in scaling and diversifying revenue, the ₹96 Lakhs funding and Shark support will provide the momentum Airth needs to expand its footprint. As indoor air quality becomes a growing concern globally, Airth’s innovation could set a new standard for healthier living spaces.

Manvendra Hada

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