Online fish and meat retailer FreshToHome nets $36 mn

Online fish and meat retailer FreshToHome nets $36 mn
Photo Credit: Pexels
13 Oct, 2020

The online grocery delivery segment has seen accelerated traction and subsequently, increased investor interest since the Covid-19 outbreak. Bengaluru-based FreshToHome Foods is the latest company to join the fundraising bandwagon in the segment. 

The startup, which retails fresh fish and meat online, is in line to raise $36.2 million from homegrown private equity firm Ascent Capital and US International Development Finance Corporation (DFC).

While Ascent Capital has already invested $16.2 million in the startup, DFC has made a commitment of $20 million, regulatory filings showed.

The fundraise is reportedly part of a $130 million round, which is expected to see participation from Investcorp, Saudi corporate venture capital firm Raed Ventures, Middle East Oils and Grains.

Returning investor Iron Pillar and new backer David Wehner, CFO of Facebook, will also be part of the round, The Economic Times reported, citing sources. The round is expected to value the startup at $380-$400 million post money, it said.

Email queries sent by TechCircle, seeking additional details on the investment and stage of funding, did not elicit a response till the time of publishing this report.

The company last raised funds in a $20 million Series B funding round, led by venture capital firm Iron Pillar, with participation from Joe Hirao, founder of Japanese multi-business firm ZIGExN. It also received $11 million as part of the Series A funding round in May 2019. 

The five-year-old company, founded by Shahnawaz Kadavil and Mathew Joseph, competes with Bengaluru-based Licious in the targeted meat delivery segment, and startups such as BigBasket, ZappFresh, along with local offline players using Swiggy and Dunzo, in the larger grocery delivery segment.