[Funding alert] Investcorp, Omidyar Network invest $17M in Wingreens Farms

Packaged food retailer Wingreens Farms has raised Rs 124 crore ($17 million) in a round led by mid-market private equity investor Investcorp. Social impact-focused investment firm Omidyar Network India also participated in the round. 

Investcorp in India has made bets on consumption-led sectors and real estate, backing companies like youth-focused brand Bewakoof, online fish and meat retailer FreshToHome, and managed rental accommodation provider Zolo, among others.

Wingreens had last raised Rs 125 crore in 2019 in a Series B round of funding led by responsAbility Investments AG and Sequoia India. According to media reports, the company has been evaluating acquiring brands that make fresh and ethically produced food and beverages to grow its offerings. 

Founded in 2011 by Anju C Srivastava and Arjun Srivastava, Wingreens has a presence across fast-growing categories including healthy snacks, sauces and spreads, spice mixes, speciality bakery, breakfast cereals, non-dairy milk, protein shakes, and fruit juices through its acquisition of RAW Pressery completed earlier this year. 

The funding was advised by Veda Corporate Advisors.

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D2C push

The brand has an omnichannel distribution strategy and recently launched a direct-to-consumer website for its offerings. Apart from this, the brand has a retail footprint across 200 cities in India. 

“We are delighted to welcome Investcorp and Omidyar Network India to the Wingreens family. Their valuable experience and resources will empower us to onboard many more newage food and beverage brands on the WingreensWorld.com platform with an online and offline presence,” said Founder and Managing Director of Wingreens, Anju Srivastava, in a statement.

According to a report by Avendus, the online market for D2C brands in India in the food and beverage segment is expected to grow to $15 billion by 2025. The margins in the segment range from 45 percent to 55 percent, said the report. The report also states that the potential exit for food and beverage D2C brands has mainly been through sales to larger incumbents in the sector.

With the addition of multiple brands, Wingreens can reach out to a larger consumer base and diversify its portfolio.