Chain of quick-service restaurants Wow! Momo in its Series D round raised approximately Rs 350 crore, or $42 million, under the leadership of Malaysia’s sovereign wealth fund, Khazanah Nasional Berhad. In this round, Oaks Asset Management, an existing investor, also contributed Rs 60 crore.
Indian Angel Network and Lighthouse Funds, two early-stage (Series A) investors, will also partially exit the primary infusion and secondary purchase.
The money will be very important in supporting the QSR brand’s development and growth, Wow! Momo said in a press release. Together with bolstering the FMCG arm’s distribution network, the capital will fund research and development.
Wow! Momo raised an additional $9 million in October of last year after launching the Series D round with $16 million in September of the previous year. A total of $25 million has been contributed by ValueQuest Capital, V’ocean Investment, Oaksand India, and them in the first two tranches. At the time, the development had only been covered by Entrackr.
Tiger Global, the company’s lead investor in the 2019 Series B round, withdrew from both the Series C and the current (Series D) round.
Wow! was introduced by Sagar Daryani and Binod Homagai in 2008. The three QSR brands that Momo Foods owns are Wow Momo, Wow China, and Wow Chicken. According to the company, it employs 6,000 people directly and has 630 locations in 35 cities.
Wow! Momo wants to increase its topline from Rs 435 crore in FY23 to Rs 650–700 crore in FY24. Although the company has not yet submitted its financial statements for the most recent fiscal year (FY23), its operating revenue increased by two times, from Rs 106 crore in FY21 to Rs 220 crore in FY22.
