[Funding] Cloud kitchen Startup Hoi Foods gets $2M in Pre-Series A funding

Hoi Foods is a Cloud kitchen startup. According to reports, the food-tech has raised $2 million in its pre-Series A funding round.

What is the start-up, Hoi Foods, about?

Hoi Foods is a food brand for budget hotels. They bring good quality and standardised food experience to budget hotels in India. They have over 150 kitchens in NCR Region. Here, they work with hotel kitchens and ships them pre-prepared meals. The kitchens make the meals are prepared and served based on the occupancy of the hotel. The average order size for Hoi is Rs 180.

Indrajeet Roy and Pawan Raj Kumar are the founders of Hoi Foods. The company has more than 150 cloud-kitchens serving 5,000+ meals in a day across the National Capital Region (NCR) and Bengaluru. Hoi Foods has a revenue of Rs 50 lakh every month. It has official food partnerships with OYO Flagship chain, Treebo Hotels, and Fab Hotels.

Who were the fundraisers?

The fundraising was led by 1Crowd. It is an equity crowdfunding platform. Other investors included startups such as Sprout and Angelist. Prominent industry leaders like Samar Singla, founder of Jugnu; VCCircle chief executive officer (CEO) Jaideep Mehta and Mukund Kulashekaran of Urban Company also participated in the funding.

Hoi Foods had raised its seed funding in 2018 and has grown seven times since then.

How will the food-tech use the funds?

The Gurgaon-based firm will use the funds to enhance the existing network of cloud kitchens. It plans to catapult itself into the big league of the cloud kitchen ecosystem. The company will focus on expanding its cloud kitchen network across India. It will also enhance its tech platform and strengthen the supply chain. The start-up plans to expand to Hyderabad, Mumbai and Pune.

Pawan Raj Kumar, commenting on the funding said:

We are building a very strong play in the cloud kitchens ecosystem and have been able to put together a decently large network in a very short duration. We feel honoured and excited to receive the confidence of all investors. I am also very confident and motivated to build our organisation much bigger and better with this.

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