Boat gets $60 million in funding from Warburg Pincus, Malabar

31 Oct 2022 , 06:56 AM

Boat, a direct-to-consumer (D2C) audio and wearables business, has formally withdrawn its ambitions to go public after closing a $60 million (about Rs 500 crore) funding round through convertible preferred equity notes from Warburg Pincus and Malabar Investments.

For this financing, Boat has set a minimum valuation cap of approximately $1.2 billion, according to people familiar with the terms of the agreement who spoke to ET. This means that Warburg and Malabar, an investment fund focused on India, will receive these preferred stocks converted into equity at a business valuation of $1.2 billion whenever Boat closes its next round of funding or goes for an initial public offering (IPO), even if other investors come in at a higher price.