Indian QSR Chain Wow! Momo foods have raised $15.6 million (Approx. INR 125 Cr) from OAKS Asset Management which is a Mumbai-based firm.
This funding is the first tranche of the current Series D funding, the startup plans to raise the second tranche from another VC firm soon.
The fresh funds will enable to brand to build strong back-end capabilities to enter Tier 1 and Tier 2 markets of the country. The New Funds will also enable the company to expand further in tier 2 and tier 3 cities.
Founded in August 2008 by Binod Kumar Homagai, Sagar Daryani, and Shah Miftaur Rahman, Wow! Momo operates three brands – Wow! Momo, Wow! China and Wow! Chicken. It claims to currently have a monthly revenue run-rate of over INR 40 Cr and it plans to double its growth by mid-next year.
Wow! Momo Foods competes with the likes of other Indian QSR chains including Faasos and Cafe Coffee Day, as well as international names such as KFC.
The brand is now across 21 cities and has over 480 outlets; aim it to enter over 100 cities with the new expansion plan. The funds will also be utilised to fortify the FMCG growth.
This round makes Wow! Momo Foods as one of the strongest domestic players in the Indian QSR space. This is a testimony to the brand’s strong business vision, and execution capabilities and focuses on sustained profitability.
Sagar Daryani, Co-Founder & CEO of Wow! Momo Foods, said “You only grow when the ecosystem around you grows; even in such riotous times, good profitable, sustainable and scalable business models will always find right backing and that is the faith with which we started our first outlet in 2008. As I keep saying we are a brand that is funded by the consumers and guided by the investors.”
Vishal Ootam, Founder and CEO of OAKS Asset Management, said, We are excited to partner with Wow! Momo. With a track record of having partnered with some of the best entrepreneurs in the Indian F&B space, we are excited to see the execution by the Wow Momo team. We expect Wow! Momo to not only gain domestic market share in India but also to be the first global sized QSR company from India.”
