Hyderabad’s Paradise Biryani eyes Rs 100 crore raise for pan-India expansion: Report- Moneycontrol.com
The fresh capital will be used mainly for expansion, with Paradise aiming to open 100 new outlets over the next three years
Paradise Biryani, one of India's most recognised biryani brands from Hyderabad, is looking to raise around Rs 100 crore to support expansion and deepen its presence in major cities, an Economic Times report said on Monday.
The report said private equity firm Samara Capital, which owns Paradise Food Court, is in talks with several Indian family offices for the proposed fundraise. Samara is expected to dilute about 10-12% stake in its 12-year-old portfolio company to bring in a new investor, a senior executive told The Economic Times.
The fresh capital will be used mainly for expansion, with Paradise aiming to open 100 new outlets over the next three years. Abhik Mitra, Managing Director and Chief Executive Officer of Paradise Biryani, told The Economic Times that the company is pursuing an aggressive growth strategy.
Samara Capital currently owns 100% of Paradise Food Court. The Economic Times noted that Samara initially bought a 35% stake in Paradise in 2014 for Rs 70 crore, before acquiring the remaining 65% from the promoters for Rs 400 crore in 2022.
Paradise presently operates around 57 outlets across Hyderabad, Bengaluru, Chennai, Vijayawada, Visakhapatnam and Gurugram. With annual revenue of about Rs 300 crore, the company plans to enter cities such as Pune, Kolkata, New Delhi, Guntur and Warangal, taking its network to nearly 160 stores over the next three years, The Economic Times said.
The proposed fundraising comes as the biryani segment benefits from rising online food delivery demand, stronger consumer spending and growing preference for organised food chains. The Economic Times also highlighted that in 2021, the family office of the Havells Group invested in biryani chain Dindigul Thalappakatti at a valuation of Rs 860 crore. The majority stake in that company is held by private equity firm CX Partners.
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