Food-on-demand service Faasos has raised Rs 110 crore funding from existing investors Sequoia Capital India, Lightbox Ventures and Evolvence India as part of its Series-D1round.
The investment comes ahead of a $75-100-million funding round for which Rebel Foods ( Faasos) has held talks with investors such as Multiples Alternative Asset Management, Temasek, Goldman Sachs, Falcon Edge and Canadian Pension Plan Investment Board, as ET had reported in February.
Jaydeep Barman, Chief Executive Officer of Rebel Foods, said, "Rebel Foods was world’s largest delivery-only or internet restaurant company. Its strategy is to run multiple restaurants from the same cloud kitchen. The company that also owns brands such as Berhouz Biryani, OvenStory currently operates 176 cloud kitchens in 15 cities."
"Once a kitchen is built, we can continuously build multiple restaurant brands from that location. In the past 24 months, we have incubated and scaled seven restaurant brands to more than 100 locations, without incurring any additional expense," Barman added.
The new round is expected to value the company at $400 million. “Rebel Foods seems to have stitched together a much larger round at a higher valuation in which existing investors might not want to take part,” said Vivek Durai, co-founder of paper.vc.
“This round is an upside for existing backers who have increased their stake in the company at a lower valuation,” he said. Rebel Foods is in the market to raise fresh funds at a time when the foodtech sector in India is attracting massive investment.