Binny Bansal’s Three State Ventures Leads INR 300 Cr Funding In Curefoods

Cloud kitchen major Curefoods has raised INR 300 Cr (around $37 Mn) in a funding round led by Binny Bansal’s fund Three State Ventures, which invested INR 240 Cr during the fundraise. 

Existing investors Iron Pillar, Chiratae Ventures, ASK Finance and Winter Capital also participated in the round.

The funding round consisted of primary and secondary equity and debt, per a press statement by Curefoods. The startup said it will deploy the funding to expand its geographical reach and diversify its brands into offline formats from the current cloud kitchen business model.

The startup added that it aims to expand in Tier-I and Tier-II cities in the North and West of India.

Last year, Curefoods raised more than $112 Mn in funding across four separate funding rounds. In January 2022, the cloud kitchen startup raised $62 Mn, followed by an undisclosed investment from Bollywood actor Varun Dhawan in April, $50 Mn from VCs in June 2022 and an undisclosed investment from Bollywood actress Nora Fatehi in July 2022.

In all, the startup has raised more than $220 Mn across various funding rounds.

Curefoods, founded in 2020 by Ankit Nagori, claims to run more than 7 food factories, and 150+ multi-brand cloud kitchens to service 200+ locations in 15 cities. The startup houses brands such as CakeZone, Nomad Pizza, Frozen Bottle and Sharief Bhai, among others.

Sharing thoughts on the fundraise, Ankit Nagori, the founder of Curefoods, said, “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.

The startup most recently acquired a majority stake in the milkshake brand, Frozen Bottle in March 2022, while it picked up five brands separately in January last year. In October 2021, it acquired seven more cloud kitchen brands.

Curefoods claimed to have crossed monthly 1.1 Mn orders in December 2022, resulting in an annual recurring revenue of INR 550 Cr. The startup further said that it looks to open 50 more locations with an aim of managing monthly 2 Mn orders by the end of 2023.

In the cloud kitchen segment, Curefoods competes with unicorn Rebel Foods which operates more than 450 cloud kitchens across the country.