Chennai-based food and agri-tech platform WayCool on Friday announced setting up of a subsidiary to manage its FMCG business and said it plans to double its revenue from FMCG sales to more than Rs 800 crore by the end of FY24.

The new company named BrandsNext will grow its FMCG business which currently has three brands in its fold. WayCool also announced BP Ravindran as the CEO of BrandsNext, who will spearhead the company’s plans for new product development and geographical expansion across the South India.

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WayCool entered the consumer packaged goods business in 2018 through brands such as Madhuram – a rice brand sourced from select farms, Kitchenji – a premium staples brand sourced from the company’s vast farmer network and Freshey’s – ready to cook products from batter to value-added products. WayCool had clocked a revenue of Rs 1,800 crore in FY23 out of which around Rs 400 crore was contributed by the three consumer products sales.

Karthik Jayaraman, MD, WayCool, said,“BrandsNext and the portfolio that we have created is to ensure that the value that is created by building a soil-to-sale supply chain is truly captured. BrandsNext is poised to thrive as a standalone entity with a portfolio of consumer products. We plan to double the FMCG business revenue to Rs 800 crore plus by FY24.”

WayCool had so far raised around $140 million and last funding had valued the company at around $700 million. As part of its Mission 2025, the management is planning to make the company a profitable and publicly listed one by 2025.

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BP Ravindran, CEO, BrandsNext, said, “A strong foundation has been laid in the past two years to win in the food business by establishing BrandsNext as an entity which will focus on its core strength of building brands and scaling distribution. We intend to be closer to consumption occasions of our consumers by mapping their need states and addressing their pain points. I am confident that the transformation to be carried out by BrandsNext will help us in the journey of building super brands in the commodity space that benefits every stakeholder in the ecosystem.”

He said that a funnel of FMCG products are being planned, most of them will be in meals segment, value added dairy and speciality rice. The company will be scaling up its dealerships to 1.6 lakh from the current 60,000 by the end of FY24.