Foodtech & cloud kitchen FreshMenu raised $6.5 million from Florintree Florintree Advisors
- ByStartupStory | April 26, 2022
Foodtech and Cloud Kitchen Startup FreshMenu secured 6.5 Million USD from Former Blackstone MD’s fund. The Foodtech platform has raised a new round from Florintree Advisors with a steep cut in its valuation. This also marks the first major funding round for the Bengaluru-based company in the past 3 years.
The startup has allotted 100 equity and 14,85,642 series C non-convertible preference shares at the issue price of 336.95 per share, amounting to INR 50 crore from Florintree, its regulatory filings with the Registrar of Companies show.
Post allotment of these shares, Florintree holds 26.683% of Fresh Menu, which offers wraps, sandwiches, healthy salads, biryani, noodle bowls, etc.
As per Fintrackr estimates, the firm has raised the new funds at a post-money valuation of around Rs 210 crore. This marks a steep haircut in the company’s valuation as compared to INR 405 crore in the previous round.
This is also the first investment in FreshMenu by private equity firm Florintree Advisors, led by Mathew Cyriac. Cyriac was the MD of Blackstone Group in India, and his firm has recently invested in startups, including Freight Tiger, Satin, and Mobikwik. Before this round, FreshMenu had raised funds from Zodius Technology fund, Vistra India and Lightspeed India in January 2021.
Freshmenu was also able to increase its employee stock options pool by 149.2% to 3,11,623 ESOP options from 1,25,000 options.
The new round is very crucial for the startup as it has been reeling under financial strain in the past 3 years. In early 2019, SoftBank-backed Oyo engaged FreshMenu for acquisition, but the deal didn’t get through for some unknown reasons. Amidst a funding crunch, the company’s revenue also halved in FY21, and it would be interesting to watch how Fresh Menu covers the lost ground in FY22 and grow further in FY23 with new funding.
Follow Startup Story
Related Posts
