Curefoods Raises INR 300 Cr Led by Three State Capital; Targets Offline Space

Bengaluru-based cloud kitchen brand Curefoods has announced the closure of a funding round where the company raised INR 300 crore last week.

The round consisted of primary and secondary equity and debt and was led by Binny Bansal’s fund Three State Capital with an investment of INR 240 crore along with other participant companies IronPillar, Chiratae Ventures, ASK Finance and Winter Capital.

Curefoods aims to use this fundraise to expand its geographical reach and diversify its brands into offline formats, from the current online-only cloud kitchen presence.

"I am very delighted to have the continued support of all our existing investors, who have a major role to play as we continue to grow and expand our brands and geographical presence. Our investors understand our brand vision very well and are aligned to our long-term goal of creating multiple 500 crore brands," said Ankit Nagori, Founder of Curefoods.

In the last financial year of FY 2022-23 Curefoods grew over 300% year-on-year. This year Curefoods aims to expand in Tier 1 and Tier 2 cities in the North and West of India.

With 200+ locations in 15 cities serviced by a backend operation of over 7 food factories, and 150+ multi-brand cloud kitchens, its Nomad Pizza and the biryani brand Sharief Bhai are the fastest-growing brands, growing at over 50% Quarter-on-Quarter.

In December 2022, Curefoods recorded a milestone of crossing 1.1 million orders per month, resulting in an annual recurring revenue of INR 550 crore.

"This funding will allow us to reach new customers and markets while also targeting our offline model expansion. We are excited about the future of consumer brands and look forward to innovating and leading brands in this space for India, while delivering authentic and nutritious food to many Indians, according to the Indian taste palette,” added Nagori.

Previously, before the current funding round, Curefoods had raised over INR 800 crores in 2022 from Iron Pillar, Chiratae Ventures, Sixteenth Street Capital, Accel Partners, Binny Bansal, Alteria Capital, BlackSoil Capital, Winter Capital and Trifecta Capital in January 2022.

Looking forward, Curefoods is poised to target an even greater success, with an objective ARR of INR 1000 crores by the end of 2023. In the same period, Curefoods also plans to open 50 more locations with an aim of managing 2 million orders a month.