Bengaluru-based cloud-kitchen operator Curefoods India has officially filed its Draft Red Herring Prospectus (DRHP) with SEBI, setting the stage for an ₹800 crore initial public offering (IPO). This marks a major step in the company’s journey to tap public capital for growth and strategic initiatives
📌 What the IPO Structure Looks Like
- Fresh Issue: ₹800 crore worth of new shares with a face value of Re 1 each
- Offer-for-Sale (OFS): Experts expect around 4.85 crore shares to be sold by existing investors, including major backers like Iron Pillar, Accel India, Chiratae Ventures, and Curefit Healthcare
📊 Use of Proceeds
According to the DRHP, Curefoods plans to deploy the funds as follows:
- ₹152.5 crore towards expansion and equipment: new “Krispy Kreme” cloud kitchens, central kitchens, brand-additions, and machinery
- ₹126.9 crore to pare down debt.
- ₹40 crore to meet lease obligations.
- ₹14 crore for brand promotion and marketing initiatives.
- ₹184.5 crore earmarked for investments in subsidiaries and strategic acquisitions including CakeZone, Fan Hospitality, Yum Plum, Millet Express, and Munchbox Frozen Foods
🌐 Company Overview & Growth Metrics
- Curefoods ranks among India’s top two cloud kitchen players in terms of service locations, operating over 500 outlets across 70+ cities, including cloud kitchens, kiosks, restaurants, central kitchens, and warehouses
- FY25 revenue from operations surged 27% YoY to ₹754.8 crore, while losses narrowed to ₹169.9 crore—indicating strong growth combined with operational leverage
🧑💼 Backers & Leadership
- Founders and shareholders:
- Ankit Nagori – co-founder & CEO retains ~28% post-IPO stake
- Binny Bansal-backed 3 State Ventures ~17.3%.
- Other major investors include Iron Pillar (~13.5%), Chiratae Ventures (~8.2%), and Accel India (~7.2%)
- Lead managers: JM Financial, IIFL Capital Services, and Nuvama Wealth Management are handling the book-running process entrackr
📌 Why This IPO Matters
- Cloud-Kitchen Validation: Marks a turning point for asset-light, delivery-first food services model in India.
- Investor Confidence: A positive signal for other foodtech startups aiming for public listings.
- Strategic Expansion: Curefoods is making strides in brand portfolio diversification and geographic reach.
🔍 What to Watch
- Pricing & Valuation: How the market values its high-growth yet still loss-making model.
- Listing Outcome: Performance on NSE and BSE will set tone for future foodtech IPOs.
- Execution Risk: Watch for profit margin improvements and ability to maintain high revenue growth sustainably.
🧭 Bottom Line
Curefoods’ DRHP filing for an ambitious ₹800 crore IPO showcases its aspiration to scale aggressively across multiple food brands and formats. With strong investor backing and clear deployment strategy, the company is poised to become a bellwether for India’s cloud-kitchen revolution.
