Lahori In Talks To Raise INR 400-450 Cr: Report

SUMMARY

The startup is nearing the close of the funding round, which will see participation from Motilal Oswal’s private equity arm, and value parent Archian Foods at INR 2,500 Cr

The startup plans to use the fresh funds to expand into newer regions and push its products to a wider audience

Founded in 2017, Archian Foods sells non-alcoholic beverages under the Lahori brand name in four traditional Indian flavours

Archian Foods, the parent company of non-acholic beverages brands Lahori, is reportedly nearing the close of INR 400 Cr to INR 450 Cr (about $46-52 Mn) funding round from Motilal Oswal’s private equity arm and other investors

The round will catapult the startup’s valuation to INR 2,500 Cr from INR 700-750 Cr in 2022, Moneycontrol reported, citing sources.

The beverage startup plans to use the fresh capital to expand into newer markets and push its products to a wider audience.

Inc42 has reached out to Motilal Oswal seeking comments on the development. The story will be updated on receiving a response.

Founded in 2021 by Saurabh Munjal, Saurabh Bhutna and Nikhil Doda, Archian Foods is Lahori’s parent company and sells traditional Indian beverages across the country. Its product offerings include drinks in four flavours – jeera (cumin), nimboo (lemon), kacha aam (raw mango) and shikanji (lemonade).

It manufactures nearly 1 Mn bottles in its manufacturing facility which is spread across 1,50,000 sq ft.

In January 2022, Belgium-based Verlinvest invested $15 Mn in Lahori.

The startup competes with major players like Coke, Pepsi, and Parle Agro, and new-age brands like Paper Boat, Storia, Lahori, in the non-alcoholic beverages space.

The funding comes at a time when investors are making big bets on India’s non-alcoholic beverage segment.

Recently, Sober & Co raised INR 20 Cr in a funding round, while non-alcoholic beer startup 3Sister secured INR 15 Cr to scale production and expand market reach.

These investments underscore the rising consumer demand in the sector.

Riding on this momentum, India’s non-alcoholic beverages market—valued at INR 1.37 Lakh Cr in FY23—is projected to reach INR 1.98 Lakh Cr by FY28.