ID Fresh Food, one of the fastest-growing and most innovative fresh food start-ups in India, announced the closure of its Series D funding round of Rs 507 crore. In one of the largest deals in the food start-up space, the round was led by Asia's leading secondary private equity firm, NewQuest Capital Partners, along with existing investor Premji Invest.
The strategic fundraising reflects the brand's ambition to further strengthen its market leadership in the new product business, encourage product innovation, build capacity and expand its presence in key markets such as India, UAE and the need for global expansion. There are plans that the company plans to expand its footprint. In Singapore, Malaysia and other markets in the near future.
Founded in 2005 by PC Mustafa, Abdul Nassar and their brothers, ID raised $5.2 million in Series A funding from Helion Ventures in 2014 and $25 million from Premji Invest in 2017.
The company has experienced phenomenal growth across its categories and channels and is on track to achieve a revenue rate of Rs 500 crore for the current financial year despite the pandemic and associated challenges in the last two years. Last year, the company opened the world's largest idli dosa factory in Anekal, Karnataka with a capital investment of about Rs 50 million. Its fully automated spacious kitchen produces over 1,000 kilograms of flour and 3,000 parottes per day.
Mustafa said: “iD is a people brand driven by high ethical standards. Values are vital to our growth. Fundraising is another milestone in our journey, but the journey has just begun. and expand our footprint across geographies, strengthen our supply chain practices and introduce innovative products that will redefine the fresh packaged food space not only in India but globally."
“While there is tremendous opportunity in the fresh food space, ID has a clear advantage as a market leader with a deep understanding of consumer preferences and the ability to innovate in real-time and set industry benchmarks. Their unquestionable leadership is the quality and quality of the founding team. They are a testament to the innovative, people-centric company they have built,” said Amit Gupta, Partner and Head, India and Southeast Asia, NewQuest Capital Partners.
“Our strong growth foundation and market dominance across prestigious categories make ID the undisputed leader. We are well-positioned for an aggressive period of growth over the next few years with plans to complete an IPO, build a $1 billion company and consolidate our long-term leadership position in the fresh food category," said Jaipal Singhal, CFO Elemento's graffiti, id said.
To capitalize on the direct-to-consumer (D2C) $1 billion opportunity, iD has transformed its distribution model and invested heavily in growing its online presence. Her e-commerce sales are up 300%. Rahul Garg, Partner, Premji Investment said, “It has partnered with BigBasket to launch a co-branded label, ID Fresh.
Commenting on Helion's departure, Rajeev Kataria said: "We recognized the potential of ID early on. We were very impressed with the ID team. We are delighted to be able to create significant added value in our collaboration with them.
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