Foodtech startup, Fingerlix, has secured $1.31 million in debt financing from Alteria Capital’s recently launched venture debt fund. The raised investment will be used towards expanding production capability of the product suite and scaling up geographically, the media release stated. This is now, Alteria’s first investment from it’s $123 million venture debt fund which it closed last month.
Commenting on the funds raised, Shripad Nadkarni, Founder of Fingerlix, said, “Our experience of raising Venture Debt with Alteria was not only smooth and quick but delightful! The team is amazingly responsive and knowledgeable and we are sure this is the beginning of a solid partnership.”
Founded by Shripad Nadkarni, Shree Bharambe, Abhijit Berde and Varun Khanna in 2015, the startup provides ready-to-cook food. The company claims to add no preservatives in these food products. The customers need to select the products they want to cook from its website or mobile app, then they are asked to order the same and the company sends its across with customized instructructions to cook that dish. Their products include parathas, mixes, curries, different batters, among others.
The company has raised more than $10 million since its inception from a plethora of investors. Fingerlix had previously raised $7 million in a round led by Accel Partners last year. Before that they had raised over $3 million from Zephyr Peacock.
According to a report by IBEF, the food and grocery market in India is the sixth largest in the world with retail having 70 percent of the total sales. While the food processing industry amounts for 32 percent of the total food market in India, one of the biggest sectors in India – ranked 5th in terms of production, consumption, export and growth. It adds 8.80 percent GVA in Manufacturing. The gourmet food market stands currently at $1.3 billion and is expected to grow at a CAGR of 30 percent.
The report further added that the online food ordering sector in India is at its nascent stage but is seeing an exponential growth. The online food industry grew by 150 percent y-o-y with an estimated GMV of $300 million in 2016.