Khetika, a renowned health food company, secures a significant $18 million in their Series B funding round.
Khetika, a brand specialising in healthy snacks and staples, has announced its successful Series B funding round of $18 million (Rs 154.6 crore). The funding, led by Narotam Sekhsaria Family Office and Anicut Capital, aims to propel Khetika towards a 10x growth over the next three years, with a target revenue of Rs 2,000 crore by FY28.
Operating under Retranz Info Labs Pvt Ltd, Khetika has experienced remarkable growth over the years and is now set to scale further. The brand operates on a farm-to-fork model, ensuring traceability and minimal processing, which aligns with the growing consumer demand for clean-label, nutritious, and transparent food products.
The funding will be utilised to expand Khetika's product range, including batters, chutneys, millet-based staples, rice, makhana, dry fruits, and spices, while maintaining its health-focused, preservative-free ethos. The funds will also be used to scale manufacturing facilities domestically and internationally, to meet the increasing demand and maintain high quality standards.
Khetika's expansion plans extend beyond India's borders, with a focus on entering international markets such as Europe, the Middle East, and the US. These regions have shown growing demand for Indian food products with strict quality requirements, and Khetika aims to capitalise on this opportunity by delivering on quality and traceability.
In addition to product development and expansion, the funds will be invested in brand building and enhancing technology use in operations to improve efficiency, supply chain transparency, and customer experience.
Existing investors Anicut Capital, Incofin Investment Management, and SIDBI Venture Capital have shown continued confidence in Khetika's vision and business model. Adithya Bharadwaj, principal at Anicut Capital, expressed that Indian households are demanding clean-label, health-focused foods, while Narayanan Venkitraman, from Narotam Sekhsaria's family office, stated that the Indian food space is experiencing change with more consumers preferring healthy and clean food.
Prithwi Singh, co-founder and CEO of Khetika, expressed gratitude towards investors for believing in their vision and supporting their journey. Retranz Info Labs' revenue from operations in 2023-24 grew by 32% to Rs 163.8 crore, and the company's operating loss in FY24 halved to Rs 6.5 crore. These financial details are according to VCCEdge.
With this funding, Khetika is poised to accelerate growth through scaled production, innovative clean-label products, strategic international expansion, and bolstered brand presence. The brand's commitment to delivering high-quality, health-focused, and transparent food products positions it well for success in the evolving food market.
- Khetika, with its focus on clean-label, nutritious, and transparent food products, plans to invest a portion of the $18 million funding towards research and development of healthy diets that align with the growing consumer demand for science-backed nutrition.
- To further propel its growth, Khetika will also direct a significant portion of the funds towards business ventures in finance and investing, aiming to establish strategic partnerships and expand its reach globally in the health-and-wellness sector.
- Moreover, Khetika intends to leverage the funding to improve its manufacturing processes and supply chain efficiency, ensuring financial sustainability while maintaining the highest quality standards for its healthy-diet and snack offerings.
