[Funding alert] QSR startup Auntie Fung’s raises Rs 3.35 crore led by India Angel Network
Bengaluru-based quick service restaurant (QSR) startupraised Rs 3.35 crore in an angel round led by India Angel Network. The funding round was led by angel investors Anjali Malhotra, Ajay Rajgarhia, and Nitin Jain. It also saw participation from Lead Angels, Lets Venture, and Chandigarh Angels.
Prior to this, the startup had raised its seed funding from marquee investor Raja V, Former Vice Chairman & MD of Philips India and Former President & CEO of GE Healthcare, India.
According to the official statement, the startup is looking to deploy a major part of the capital for opening new cloud kitchens. The remaining fund will be used to build back-end capability around supply chain and technology, hire key talent from the culinary world, and build brand awareness.
“During the new normal, we were quick to adapt to delivery model and are looking at scaling up via cloud kitchens and delivery model for the next 12-15 months. We have adopted a cluster-based approach that helps us getting rich with dividends as we further penetrate other locations in Bengaluru and Delhi-NCR. This fundraise will enable us to strengthen our technology backend and streamline our supply chain,” Subhradeep Bhowmik, Co-founder of Auntie Fung’s said in a statement.
Auntie Fung’s was launched in 2015 by Subhradeep Bhowmik and Satrajit Das with an aim to bring rich, flavourful Asian street food to mainstream India in a healthy, hygienic, quick-service format. It is currently present in Bengaluru and Delhi-NCR.
“Our cloud kitchen will help us provide a differentiated product offering with fast scale-up and depth of reach. In the last six years, the company has been able to build a sustainable venture. This latest investment further asserts investors’ confidence in our value proposition and growth potential in the upcoming years,” Satrajit said in a statement.
The startup is now looking to build an innovation pipeline with Bao, Sushi, and other upcoming food choices.
Speaking about the investment, Ajay Rajgarhia, Lead Investor at IAN said that the Chinese and Asian cuisine holds a market share of 21.2 percent making it the second highest among all the cuisines in India. He explained that Auntie Fung’s is integrating Asian street food with mainstream India in a healthy, hygienic and quick service format.
“Getting Pan-Asian Street Food at an affordable price was always a task and Auntie Fung’s is here to bridge the gap. Auntie Fung’s has managed to create standardized processes and consistency in taste across their outlets, which has helped them get loyal customers. The Indian cloud kitchen market is expected to grow five-fold from 2019 to 2024 to reach $ 2 billion and we expect Auntie Fung’s to grow even faster and become a brand to reckon with” said Manish Johari, SVP – Lead Angels.