Cloud kitchen brand Rebel Foods raised Rs 110 Cr Debt funding from Alteria, InnoVen
Rebel Foods, a cloud kitchen brand, has raised debt from Alteria and InnoVen Capital totalling Rs 110 crore ($13.2 million). Following its most recent equity round in 2021, EatSure’s parent company (formerly known as Faasos) is now on its fifth debt financing round.
According to regulatory filings with the Registrar of Companies (RoC), Rebel Foods’ board has approved a special resolution to issue 11,000 Series G1 non-convertible debentures at an issue price of Rs 1,00,000 each, raising Rs 110 crore.
Vistra ITCL (via InnoVen Capital) contributed Rs 45 crore and Orbis Trusteeship (via Alteria) invested Rs 65 crore during the debt round. The first payment date on the Series G1 debt is May 1, 2027.
Every debenture issued in the debt round will be eligible for interest at the rate of 13.90% annually, according to filings. The monthly interest payment schedule is as follows.
It raised debt totaling Rs 75 crore ($9 million) from Stride Ventures and Catalyst Trusteeship (Northern Arc) in April of last year. The Mumbai-based company obtained three debt financings totaling Rs 230 crore in 2022.
Rebel Foods has more than 450 kitchens spread across more than 70 cities, operating food brands like Behrouz Biryani, Mandarin Oak, Oven Story Pizza, Faasos, and Slay Coffee. Its portfolio includes more than 45 brands from Saudi Arabia, the UK, India, and the United Arab Emirates (UAE).
Over the next two to three years, the company intends to open 250–300 new locations and close Oven Story Pizza.
After a $175 million Series F round led by Qatar Investment Authority in October 2021, the Jaydeep Barman-led company became a unicorn. In November 2021, the company backed by Peak XV completed a $14.5 million equity round.
Operating revenue for Rebel Foods increased from Rs 856 crore in FY22 to Rs 1,258 crore in FY23. The media reports that the company’s losses increased from Rs 564 crore to Rs 656 crore in FY23.
Rebel Foods, the first company specializing in cloud kitchen space to list on the Indian stock exchange, is reportedly preparing for an initial public offering (IPO) by 2025.
