[Funding alert] Rage Coffee gets funding from TV actor Rannvijay Singh, Refex Capital, Keiretsu Forum, others
The freshly infused capital will be used to launch new products, scale-up production, strengthen the team, and expand omnichannel distribution presence, the company said.
Rage Coffee, an FMCG brand which focuses on coffee categories, has closed its latest round of funding led by Refex Capital, an early-stage venture capital firm, with participation from members of angel network - Keiretsu Forum Chennai, and a clutch of other prominent investors.
TV actor Rannvijay Singh Singha, who invested in the company in July last year and joined the current fundraise as well, said he has been a believer in the team and product since day one.
He said, “It goes without saying that Rage Coffee is a brand that has quickly captured the imagination of its target audience through a breakthrough product combined with innovative marketing strategies.”
Other than him, the round also saw participation from Harminder Sahni, Founder and MD, Wazir Advisors; TD Mohan, former Jt MD of CavinKare, Rajan Srikanth, Co-president, Keiretsu Forum Chennai & Singapore; Prakash Katama, former CEO of TVS Electronics, Uday Sodhi, former Business Head at SonyLIV, Ajay Sarupria, PE investor, A Kumar, Founder of Gemini Paints; and Sawan Gupta, MD at Spero Group of Companies.
Founded in 2018 by Bharat Sethi, Swmabhan Commerce Private Limited, the parent company of Rage Coffee, is an FMCG company that manufactures, markets, and distributes coffee products such as crystallised coffee, which is infused with six plant-based vitamins.
The freshly infused capital will be used to launch new products, scale-up production, strengthen the team and expand omni-channel distribution presence, the company said in a statement. It also said that it plans to capture market share of the category devoid of any innovation - be it the ingredients, formulations, manufacturing techniques, packaging, distribution or use of data to be agile.
Bharat Sethi, Founder & CEO, Rage Coffee, said:
“The next decade will see a wave of disruptive consumer brands from India, taking pole position at the global level, many of which will cross Rs 1,000 crore in top line. We are targeting to be one of those companies, having already captured a high degree of mindshare in a short span of time."
"Our approach to supply chain, sourcing, consumer segmentation, product R&D, D2C data driven DNA combined with a hybrid distribution model and, most importantly, our close relationship with our customers places us in a great spot to build a brand that is truly poised to capitalise on the immense market opportunity," he added.
The company had earlier roped in Arijit Mitra, Former National Sales Head at Coke Beverages, in June last year as Director of Sales to grow the offline business.
According to a Frost & Sullivan report, functional food and beverages in India is currently still in its initial stages, growing at rate of 17.1 percent CAGR, expected to be valued at $4 billion in 2020.
Rage Coffee plans to capitalise on the currently untapped opportunity, driven by increasing disposable income and strong health and wellness trends. The company said its products are retailed through its own website, all leading online platforms and over 400 touch points offline.
The company plans to quadruple sales, reach over 2.000 outlets by the end of 2020, and clock a significant chunk of sales from institutional & HoReCa business.
(Edited by Megha Reddy)