Rio Innobev, a beverage company, has raised Rs 10 crore in its first institutional fundraising round, which was led by Atomic Capital and included participation from other investors.
According to a press release from Rio Innobev, the new funding will be utilized for product innovation, brand development, distribution expansion, and manufacturing improvements.
Rio Innobev was co-founded in 2014 by Rahul, Rajiv, and Rohan Sangoi. Their products include RIO Bubbly Fruit Drink (BFD), which caters to young, aspirational consumers with a bold taste and energy-boosting formula, and RIO BOOM Energy Drink, which offers exotic fruit flavors with 15% juice content, fortified with honey and Vitamin C, and 25% less sugar.
Over the next three years, the Pune-based startup hopes to expand to 1,00,000 outlets while strengthening its omnichannel presence with Quick Commerce platforms and contemporary trade networks. It currently operates more than 35,000 retail stores in more than 25 cities in Maharashtra and Gujarat.
Rio Innobev asserts that it has maintained a positive EBITDA since its founding, increasing sales from 7.5 lakh units in its first year to more than 15 million cans and bottles yearly. The brand’s goals are to prioritize innovation, speed to market, and unwavering quality. The company wants to meet changing consumer tastes by diversifying its product line into the indulgence, health, and functional beverage sectors.
Rio Innobev is present in stores like Dmart, Reliance Retail, 7-Eleven, Wellness Forever, and Patel Retail in addition to quick commerce platforms like Zepto, Swiggy Instamart, and Blinkit. Over the next three years, the company intends to triple its general trade footprint and greatly expand its reach in India’s major metropolises and up-and-coming mini-metros.
In order to guarantee better product quality, quicker go-to-market execution, and robust unit economics as it gets ready to compete more fiercely in both national and regional markets, Rio Innobev also intends to increase its manufacturing capacity.
