Blue Tokai, the specialty coffee chain, is reportedly in advanced talks to close a new fundraise at a valuation between USD 180 – 200 million, ET reported, citing sources familiar with the matter.
Although the size of the fundraising has not been disclosed, the upcoming round is expected to more than double the company’s valuation. In January of last year, Blue Tokai secured USD 30 million in a Series B round, reportedly valuing the company at around INR 650 crore.
Queries directed at Blue Tokai went unanswered.
According to a report by The Arc, the company is in the process of raising approximately USD 40 million.
Earlier this week, 12 Flags Group, the consumer fund established by Rakesh Kapoor, former global chief of Reckitt Benckiser, announced its investment in Blue Tokai Coffee Roasters through a LinkedIn post. However, the company refrained from disclosing the size of the investment.
Continue Exploring: Rakesh Kapoor’s 12 Flags Group invests in Blue Tokai Coffee Roasters as Indian cafe market surges
Besides 12 Flags Group, the upcoming fundraise for Blue Tokai may also involve participation from its current investors. Whether a new investor will join the fray remains to be seen.
The company’s investor roster includes A91 Partners, Anicut Capital, 8i Ventures, DSP Blackrock, Negen Capital, Mauryan Capital, and White Whale Ventures. Additionally, Bollywood actor Deepika Padukone invested an undisclosed amount in the startup last year.
Continue Exploring: Bollywood star Deepika Padukone invests in specialty coffee brand Blue Tokai
Blue Tokai recorded a revenue of INR 129 crore in FY23, while reporting a loss of INR 42 crore during the same period. The coffee chain operates more than 100 outlets across Delhi-NCR, Mumbai, Bengaluru, Hyderabad, Kolkata, Chandigarh, Mohali, and Pune.
Investors have been showing keen interest in the coffee market. Recently, Subko, a specialty coffee roaster and craft bakehouse, secured USD 10 million in funding from Zerodha co-founder Nikhil Kamath, Blume Founders Fund, The Gauri Khan Family Trust, and actor John Abraham.
Continue Exploring: Subko Coffee secures INR 80 Crore in a funding round led by NKSquared
abCoffee, a food service company, successfully raised USD 3.4 million in a Series A round, with Nexus Venture Partners and Tanglin Venture Partners taking the lead.
Last year, Bengaluru-based Third Wave Coffee, another significant player in the specialty coffee industry, secured USD 35 million in funding. The investment came from private equity firm Creaegis and existing investors, including WestBridge Capital and Udaan co-founder Sujeet Kumar. This round of funding reportedly valued the firm at approximately USD 150 million.
Continue Exploring: A-Listers Spice Up Their Portfolios with Bold Bets on India’s Booming F&B Startups
