Proost Beer Secures ₹30 Cr in Series A Funding to Strengthen Supply Chain and Scale Operations

• ByStartupStory     |    November 19, 2024

Delhi NCR-based homegrown beer brand Proost Beer has raised ₹30 crore (approximately $3.5 million) in its ongoing Series A funding round. The round was co-led by Chimes Group and Srinavasan Namala, the Chief Executive Officer of Porus Laboratories.

The funding round also saw participation from Hyderabad Angels, The Chennai Angels, and a group of high-net-worth individuals (HNIs).

The company plans to use the newly raised capital to enhance its supply chain, bolster its product portfolio, and scale its brand operations.

Driving Growth and Innovation

Founded in 2017 by Vijay P. Sharma and Tarun Bhargava, Proost Beer manufactures and sells a diverse range of beers that it claims are entirely made in India. The company has set an ambitious target to capture a 5% market share in the Indian beer industry by 2030. Its strategy is focused on innovation, customer-centric product development, and market expansion.

“With these funds, we will focus on expanding into strengthening our production capacity, expanding into a few new markets while also ensuring that we go deeper into our existing ones on the back of brand building,” said Tarun Bhargava, Co-founder of Proost Beer.

Rising Competition in India’s Beer Market

Proost Beer competes with established players such as Diageo, United Breweries, and Pernod Ricard India, as well as emerging startups like Bira91 and White Owl Brewery.

The Indian beer market has witnessed significant funding activity recently. In August, Goa-based Latambarcem Brewers raised ₹12.5 crore ($1.5 million) in a pre-Series A round led by LBB Investor SPV, a group of ultra-high-net-worth angel investors.

Earlier in June, beer startup Bira91 secured ₹208 crore ($25 million) via external commercial borrowing from its existing investor Kirin Holdings.

A Booming Market

India’s beer market has shown impressive growth. According to industry reports, the market size reached ₹414.7 billion in 2023 and is projected to surpass ₹781.2 billion by 2032, with a compound annual growth rate (CAGR) of 7.1% between 2024 and 2032.

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