New York-based Tiger Global Management is in advanced stages of discussions to lead a $100 million funding round in cloud kitchen platform Box8, according to sources close to the transaction.
The deal is likely to value the company in the range of $260-$300 million.
Box8’s strong direct-to-consumer (D2C) business and the growth of its pizza brand Mojo Pizza are the primary draws for this investment. According to one of the aforementioned sources, Mojo Pizza accounts for Rs 16 crore of its Rs 22 crore monthly revenue. About 60% of Mojo Pizza orders are generated on its mobile app and website, helping the company limit dependence on food delivery platforms Swiggy and Zomato.
Email queries sent to Box8 and Tiger Global did not elicit a response till publishing of this report.
Founded in 2012 by IIT graduates Anshul Gupta and Amit Raj, Box8 currently operates a full-stack platform that owns and operates a slew of brands including Mojo Pizaa, Zaza (biryani), globo (ice creams), LeanCrust (pizza), NH1 Bowls (rice bowls), mealful wraps and other meals. It operates over 120 cloud kitchens across five cities - Mumbai, Bangalore, Pune, Delhi-NCR and Hyderabad.
The Mumbai based company has raised about $30 million so far in a mix of equity and debt funding, from a handful of angel and venture capital funds including Indian Angel Network, Mayfield India, IIFL, Trifecta, Sanjay Mehta, Arihant Patni, and Amit Patni.
Its last significant fundraise was in April 2019 when the company secured $15 million, led by eWTP Ecosystem Fund. Existing investors Mayfield and IIFL Seed Ventures fund also participated in the round.
Tiger Global has been closing deals in a blistering pace in India this year. The transaction will further increase Tiger Global’s exposure to D2C foodtech in India, having already invested in Wow! Momo and Chaayos.
The global investor has closed nearly 50 transactions this year including fresh investments and follow-ons. M2P Fintech, Progcap, CoinSwitch, Spinny, Porter, Mensa Brands, G.O.A.T. Brand Labs, DealShare, Koo, Zolve, and OfBusiness are among those startups that received its backing so far this year.
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