Instant and packaged food maker Yu has raised Rs 55 crore in its Series B funding round led by returning investors Ashish Kacholia and Asian Paints Promoter Group (Manish Choksi, Varun Vakil).
The company has also provided exits to some of its seed investors with a 4x return on their investment.
Yu plans to ramp up its distribution and strengthen its food portfolio, as it looks to expand its beverage range with its newly launched 100% fruit juices. Its products like Whole Wheat Noodles and Coconut Water have achieved breakout sales on several distribution channels, driven by higher volumes, said the company.
“Version 2.0 for Yu is now officially underway with the launch of 100% fruit juices – our second product category after instant foods. From our current annualised revenue run rate of Rs 50 crore, the Series B growth capital should allow us to grow revenues 3x over the next two years. This will include enhanced distribution penetration, new product launches, and further category expansion,” noted Yu’s founders Bharat Bhalla and Varun Kapur.
The company has developed South Africa as a key market where its products are sold across 2,000+ retail outlets.
Yu Foodlabs had raised a Series A round in November 2022 in an equity and venture debt mix round ed by renowned public market investor Ashish Kacholia, with participation from existing investors, Asian Paints Promoter Group.
