Dairytech startup Country Delight appears to be starting the new year with a bridge round, paving the way for a larger fundraising effort.
The Delhi-NCR based startup is in the process of raising around $20 million (INR 164 crore) from its existing investors, which include Singapore’s sovereign fund Temasek, Venturi Partners, and others.
Country Delight’s board has approved a resolution to allocate approximately 78,000 Pre-Series E CCPS (Compulsory Convertible Preference Shares) to its existing investors, including Temasek, Venturi Partners, and others.
According to estimates, the startup is raising a new round at a valuation of approximately $758 million. In its previous Series D funding round of $108 million, the valuation stood at $615 million.
Additionally, there is a chance that the funding round might increase as more investors express interest and join in.
Established in 2013 by Chakradhar Gade and Nitin Kaushal, Country Delight operates on a subscription-based model, sourcing milk from farmers and delivering it directly to customers’ doorsteps. In addition to milk, the company also provides bread, ghee, various dairy products, as well as fruits and vegetables.
Up until now, the startup has secured nearly $158 million (excluding the ongoing funding round) through various funding rounds. Among its notable investors are Temasek, Matrix Partners, Orios Ventures, and Elevation Capital.
Financial Performance of Country Delight:
In the fiscal year 2022, the startup witnessed a more than 6-fold increase in its net loss, rising to INR 186.4 crore from INR 28.2 crore. Meanwhile, the revenue from operations surged by over 1.7 times, reaching INR 542.6 crore.
Continue Exploring: Country Delight posts staggering 6X increase in FY22 losses, reaching INR 186 Crore
It is important to note that the startup derives its revenue from the sale of various products, including milk, curd, paneer (cottage cheese), ghee, eggs, fruits, vegetables, and coconut water.
Last year, during a summit, Gade mentioned that the startup would achieve profitability in the near future.
“We are currently an almost $200 Mn revenue company, and the business is growing at 5-7% month-on-month. We are on the clear path to profitability in the next 8-10 months,” he said.
Nevertheless, the startup has not yet submitted its financials for the fiscal year 2023.
Country Delight not only competes with prominent traditional players like Mother Dairy, Nandini, and Amul but also with emerging players such as Odisha-based Milk Mantra and Reliance-acquired Milk Basket.
