Restaurant enablement platform Dil Foods has raised $7.5 million (Rs 72 crore) in a funding round led by Bikaji Foods family office, with participation from Alteria Capital and existing investors V3 Ventures and MJV Ventures.
The startup plans to use the funding to expand into new cities, especially in the tier-II and tier-III markets, add more cuisine to its portfolio and strengthen its supply chain.
Founded by Arpita Aditi in 2022, the platform operates 10 regional food brands across six cities, covering 340 pincodes. It also partners with local restaurants which operate on food delivery platforms to sell food under its brands.
“This funding will help us double down on that belief and capture a larger share of the consumer’s plate. With this capital, we aim to scale to 600 locations by FY28 and reach an annualised revenue of Rs 500 crores,” Aditi said.
So far, the startup has raised Rs 113 crore in funding.
The Bengaluru-based company helps its partner restaurants to scale using its technology layer through insights and standardised operations. It has over 300 restaurants across six cities. It helps these restaurants to keep up with the evolving consumer demand and launch new menus.
Commenting on the funding, Arjun Vaidya, founder of V3 Ventures, said, "We backed Dil Foods three years ago at a very early stage when they were at just 30 locations, and the 30X scale they’ve achieved since then has been remarkable. They’ve combined that growth with strong capital discipline and a model that’s genuinely differentiated in the cloud kitchen QSR space."
This funding comes at a time when the food delivery sector is showing signs of revival after plateaued growth, reflected in the results of Zomato and Swiggy for the past few quarters.
Dil Foods would compete with QSR chains like Rebel Foods and EatClub.
