Zappfresh To Acquire Majority Stake In RTC Meat Brand Avyom Foodtech

Delhi NCR-based meat delivery startup Zappfresh’s board has approved the acquisition of a 51% stake in Avyom Foodtech Private Limited (AFPL) with a capital infusion of INR 7.5 Cr via private placement. The acquisition is expected to complete within 3-9 months. 

The company said that the acquisition would allow it to enter the ready food solutions segment, including ready-to-eat (RTE) and ready-to-cook (RTC) categories, along with expansion into overseas export markets.

The capital poured into Avyom Foodtech will be deployed in a phased manner in line with the business transfer agreement (BTA) over a period of time, the filing said.

Important to mention that Avyom Foodtech was established by Zappfresh directors Deepanshu Manchanda and Priya Aggarwal in 2022. Zappfresh claims that the brand is engaged in producing frozen and ambient food items, snacks, gravies, sauces and other allied food preparations. There is limited public information available about Avyom Foodtech, which was formerly established as an edtech entity, namely IEY Education Pvt Ltd.

The turnover of the proposed subsidiary for the fiscal year FY25 stood at INR 14.9 Lakh, down about 32% YoY from INR 19.6 Cr in the previous fiscal.

Avyom has entered into a binding agreement with Ambrozia Frozen Foods to acquire its food processing business via a slump sale.

The deal includes approximately five acres of land, a fully operational food processing facility, and associated plant and machinery, with associated liabilities such as bank borrowings and trade payables being assumed

Founded in 2019, Ambrozia operates with a food processing facility that supports a portfolio of 150+ SKUs, including breakfast products such as idli, medu vada, kebabs, momos, gravies, breads and sauces, etc. The brand claims to be servicing institutional and QSR customers including Hyperpure, Faasos and Jubilant, among others.

“By acquiring a running processed foods business with established capabilities, regulatory approvals, and export readiness, we are significantly shortening our execution timeline while maintaining capital discipline,” Manchanda said.

Founded in 2015 by Manchanda and Shruti Gochhwal, Zappfresh procures meat from farms and claims to deliver it to the end customer in 90 minutes once the order is placed. Zappfresh is currently operational in Delhi-NCR and Bengaluru. 

The company listed on the BSE SME exchange in October 2025, raising INR 53 Cr via an issuance of fresh issue of shares. While a large chunk of the capital raised from the IPO was earmarked for marketing, capital expenditure and working capital, it also planned on utilising some capital to fuel acquisitions.

Notably, Zappfresh’s board has revised the utilisation of proceeds from its IPO. The company now plans to deploy INR 12.2 Cr towards acquisitions, a sharp increase from the INR 2.2 Cr initially earmarked for the purpose. To accommodate this change, Zappfresh has reduced the proposed allocation for capital expenditure and marketing by INR 5 Cr each, as per the filing.

In the past, the D2C meat delivery brand acquired Mumbai-based meat delivery brand Bonsaro in 2024 and Dr Meat in 2023. 

Typically, the company undertakes such acquisitions to enter into new markets as well as leveraging local expertise through acquiring companies and their workforces while strengthening its portfolio with new products.

On the financial side, the meat delivery company reported a net profit of INR 7 Cr in the first half of FY26 (H1 FY26), marking a 2.9X jump from INR 2.4 Cr in the year-ago period. Operating revenue grew 43% YoY to INR 95.6 Cr during the period under review.

Shares of Zappfresh were trading 1.49% lower at INR 142.25 as of 12:34 IST.