September 2, 2024: Blue Tokai Coffee has secured $35 million funding to grow its footprints in existing metro markets and further gain access into new Tier I and II cities in India over the next three years.
Over the next 3 years the company plans to establish its presence into 350 locations, accelerate new product innovation, and expand to new channels.
Matt Chitharanjan, Co-founder and CEO, Blue Tokai said “We will utilize these funds to accelerate our expansion across all channels – from our own cafes to B2B and B2C platforms. By introducing innovative coffee product offerings through new producers, we will enable ourselves to reach new consumers with varied offerings and continue delivering consistent coffee experiences.” said.
Blue Tokai grows its chain rapidly
Over the last year the coffee brand has been adding 5 cafes every month, and anticipates this fresh capital infusion to meet its 3-year target of 350+ cafes in India, noted Shivam Shahi, the Co-founder and COO of Blue Tokai Coffee Roasters.
Founded by Matt Chitharanjan, Namrata Asthana and Shivam Shahi, in 2013, the coffee chain has doubled its store count in the last year to 130 outlets, offering a range of specialty coffee and artisanal bakery products.
Brands like Araku, Subko Coffee, and Third Wave Coffee Roasters, along with international players such as Starbucks and Tim Hortons are Blue Tokai competitors.
The latest investment round was led by Verlinvest, along with investments from existing investors Anicut Capital and A91 Partners.
TheCaptable had reported the development earlier this year. As per the report, Blue Tokai is negotiating the deal at a pre-money valuation of Rs 1,300 crore ($160 million), with the post-money valuation expected to be around $180-200 million.
