Archian Foods, the maker of Lahori Zeera, Lahori Nimboo, and Lahori Shikanji, is in the final stages of securing ₹400-450 crore in fresh funding from Motilal Oswal’s private equity arm and other investors, according to sources familiar with the deal. This move marks a major milestone for the Punjab-based beverage company as it gears up for aggressive expansion and wider market penetration.
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From Small Raise to Big Investment: The Shift in Strategy
Initially, Lahori was planning a smaller fundraising round, but the amount was increased as existing investors chose to dilute their stakes, making way for new backers, a source revealed. The company’s growing market presence and revenue surge made it an attractive bet for investors looking to tap into India’s booming non-alcoholic beverage sector.
Lahori has already secured ₹170 crore ($20 million) from Belgium-based Verlinvest, and its valuation has skyrocketed from ₹700-750 crore in 2022 to nearly ₹2,500 crore in ongoing negotiations, reflecting its rapid growth and market potential.
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Revenue on a Fast Track to ₹600 Crore
Lahori’s financial performance has been nothing short of impressive. The company recorded a modest ₹38 crore in revenue in FY22, which jumped to ₹215 crore in FY23 and further rose to ₹316 crore in FY24, as per data from Tracxn. Now, the brand is expected to cross ₹550-600 crore in revenue for FY25, signaling robust demand for its drinks.
Notably, Lahori has been profitable since FY22, a rare feat for fast-growing startups. It posted ₹3 crore in profit in FY22, which grew to ₹7.6 crore in FY23 and surged to ₹23 crore in FY24.
Betting Big on India’s Thriving Beverage Market
This investment comes at a time when India’s non-alcoholic ready-to-drink (NARTD) segment is witnessing rapid growth. The market, which includes bottled water, juices, and sparkling beverages, was valued at ₹58,000-60,000 crore in 2022, reflecting a 30% increase over 2021. The demand continues to surge as consumers shift towards healthier, indigenous, and refreshing drink options.
Motilal Oswal’s Growing Startup Portfolio
Motilal Oswal’s private equity arm has been actively backing high-growth Indian startups, with investments in Zepto, Swiggy, and Captain Fresh across various deals. With Lahori’s fast-growing presence and increasing consumer demand, the firm is making yet another strategic bet on India’s rising consumer brands.
As Lahori secures fresh capital, all eyes will be on how the brand scales up, expands beyond its stronghold in northern India, and competes with established beverage giants in the country’s rapidly evolving drinks market.
