Mumbai based premium English lounge bar company British Brewing Company has announced that it is raising $14.2 million (Rs 100 crore) from NeoMile Capital which marks first external equity investment in the firm. The company plans to use the freshly raised amount for its expansion in the cities like Bangalore, Delhi NCR, Hyderabad, Nagpur, Pune, and Jaipur. The fresh funds will also allow the firm to come up with more than 30 new outlets and microbrewery in the next 2 years.
Ajit Dhumal had founded the company which currently has 7 outlets. Commenting on the future plans Dhumal said, “Our aim is to add 30 new outlets with over 500 distribution points for BBC’s craft beer by the end of 2022." The company plan to add six centralized microbreweries at the end of the current financial year.
At the same time, the company is planning to spend a small chunk of the latest capital infusion to acquire a microbrewery in the city. Adding further on the same, Dhumal noted, “There are several stand-alone microbreweries that are struggling to find a go-to-market strategy and shelf space in bars. By offering our own products, we would be able to improve the margin and increase the top line.”
Murli Ramakrishnan, the CEO at NeoMile Capital believes that the food and beverages segment in the country will grow at about 10% in the next five years. “We believe that factors like rising disposable income, improving demographics, rapid urbanization and the evolving mindset of the consumer is creating an attractive market for investors," Dhumal said.