IFU and DSG invest Rs 30 crore in Saraf Foods
, ET Bureau|
Feb 23, 2018, 09.59 PM IST
AHMEDABAD: Vadodara-based Saraf Foods Ltd. has raised its second round of funding worth Rs. 30 crore from a consortium comprising of existing investors -Saraf family, PEDORIA and DSG Consumer Partners - and an additional stake has been picked up by Danish Investment Fund -- IFU.
Apart from this infusion of capital, it also involves loan from SBI and subsidy from Ministry of Food Processing Industries under cold chain scheme.
As per the company, the fund infusion will aid backward integration in Individual Quick Freezing, add capacity to freeze drying and diversify into air drying. With a fortified infrastructure in place, Saraf Foods aims to garner over 200% growth in revenues to Rs. 100 crore by 2020 from Rs. 30 crore in 2017. The company is into freeze drying specialist and food processing space.
“The funds raised will bolster our upcoming project. The new unit will commence operations from end of June, 2018,” said Suresh Saraf, CMD, Saraf Foods Limited.
Other than Danish Investment Fund, IFU; the rest of the investors were also part of Saraf’s first funding round in 2013 when it picked a total investment of Rs.10 crore from DSG Consumer Partners, also involving a term loan from the State Bank of India.
Rohit Goyal, Senior Investment Manager at IFU will also join as a member of the board at Saraf Foods Ltd.
Danish investment fund, IFU co-invests with companies as well as developers wishing to supply technology to, develop or operate businesses within the entire agribusiness value chain from farm to fork. It also offers risk capital and advice for agribusiness projects in developing countries and emerging markets.
“Hope to see them take the company on to the path of the next stage of evolution, scaling up and becoming an innovator in this sector,” said Deepak I. Shahdadpuri, Managing Director, DSG Consumer Partners.
The new manufacturing unit will be located in Vaghodia, Gujarat and will be a crucial infrastructure to meet anticipated rise in demand.
Apart from this infusion of capital, it also involves loan from SBI and subsidy from Ministry of Food Processing Industries under cold chain scheme.
As per the company, the fund infusion will aid backward integration in Individual Quick Freezing, add capacity to freeze drying and diversify into air drying. With a fortified infrastructure in place, Saraf Foods aims to garner over 200% growth in revenues to Rs. 100 crore by 2020 from Rs. 30 crore in 2017. The company is into freeze drying specialist and food processing space.
“The funds raised will bolster our upcoming project. The new unit will commence operations from end of June, 2018,” said Suresh Saraf, CMD, Saraf Foods Limited.
Other than Danish Investment Fund, IFU; the rest of the investors were also part of Saraf’s first funding round in 2013 when it picked a total investment of Rs.10 crore from DSG Consumer Partners, also involving a term loan from the State Bank of India.
Rohit Goyal, Senior Investment Manager at IFU will also join as a member of the board at Saraf Foods Ltd.
Danish investment fund, IFU co-invests with companies as well as developers wishing to supply technology to, develop or operate businesses within the entire agribusiness value chain from farm to fork. It also offers risk capital and advice for agribusiness projects in developing countries and emerging markets.
“Hope to see them take the company on to the path of the next stage of evolution, scaling up and becoming an innovator in this sector,” said Deepak I. Shahdadpuri, Managing Director, DSG Consumer Partners.
The new manufacturing unit will be located in Vaghodia, Gujarat and will be a crucial infrastructure to meet anticipated rise in demand.
