Malaysian Sovereign Fund Khazanah Infuses $42 Mn Into Wow! Momo

Kolkata-based popular QSR chain Wow! Momo has secured over INR 350 Cr ($42 Mn) from Malaysian sovereign fund Khazanah Nasional Berhad.

Besides the flagship brand Wow! Momo, the startup also has two other brands – Wow! China and Wow! Chicken. 

The investment will be made via both primary infusion and secondary purchase from early-stage investors, including the Indian Angel Network (IAN) and Lighthouse Funds.

Existing investor OAKS Asset Management has also infused INR 60 Cr of additional funding into the startup.

The primary funding will fuel growth, expand the QSR brand, strengthen distribution, and support R&D for the FMCG arm. 

Sagar Daryani, CEO and cofounder, Wow! Momo Foods said, “There is no greater joy for a founder than giving its initial investors (IAN and Lighthouse Funds) great partial exits. With Khazanah’s investment into the business and their long-term approach, we will strive to become the powerhouse of innovation and transformation in the food space while keeping a strong balance between sustainability, growth and backing breakthroughs.”

Dato’ Amirul Feisal Wan Zahir, managing director, Khazanah, said, “We aim to encourage the growth of Wow! Momo through enhanced scalability, technological fortification, and focusing on building a strong back-end capability to support its growth.”

Founded in August 2008 by Binod Kumar Homagai, Sagar Daryani, and Shah Miftaur Rahman, the QSR chain has more than 630 outlets in over 35 cities. It has a robust expansion plan of over 200 outlets in the coming fiscal year and steadfast growth of its FMCG business.

Wow! Momo, together with Wow! China and Wow! Chicken aims to enter more than 100 cities and look at a footprint of over 1500 stores in the next three years.

The brand is also expanding across various touchpoints in FMCG with over 1200 retail outlets across more than 50 cities in modern trade and quick commerce with its ready-to-eat momos in the coming fiscal year.

The startup reported an over 2X jump in its revenue from operations at INR 219.8 Cr in the financial year 2021-22 from INR 106 Cr in the previous fiscal year.

In 2022, the startup raised INR 125 Cr from OAKS Asset Management at a valuation of INR 2,125 Cr ($257 Mn)in its Series D round of funding. Before it, Wow! Momo raised $15 Mn in its Series C round from Tree Line Management. It is backed by the likes of Tiger Global and Lighthouse.