India’s food and beverage business, iD Fresh Food, recently secured investment from funds managed by Apax Partners, a move poised to enhance its growth trajectory.
The supplier of paneer and paratha emphasized that this infusion of capital will enable it to “accelerate growth.” This investment signals a strong confidence in the potential of the food and drink sector, particularly in the context of evolving food and drink consumer trends.
Headquartered in Bengaluru, iD Fresh Food specializes in the production of refrigerated, ready-to-cook Indian food products, and also offers a diverse range of coffee products. Established in 2005, the company currently operates in over 50 cities across India and Gulf states, showcasing its extensive reach in the food and beverage industry.
Apax Funds have entered into an agreement to acquire a “significant minority stake” from existing shareholders, including Premji Invest and TPG NewQuest, who will continue as investors alongside co-founder PC Musthafa and the management team.
PC Musthafa, who serves as the CEO of iD Fresh Food, stated, “This partnership marks a defining moment in iD Fresh’s journey. The Apax Funds’ investment will allow us to accelerate growth, build capacity, broaden our product range and scale into more cities and markets.”
Though iD Fresh Food did not disclose specific financial figures, it reported that it has achieved “consistent and profitable growth” over the past few years, employing nearly 2,400 individuals.
Harjot Dhaliwal, a partner at Apax and the head of its India division, expressed enthusiasm for the collaboration, stating, “iD Fresh has delivered strong, consistent growth in large, under-penetrated markets. We will work closely with the management team and leverage our consumer-packaged goods expertise to accelerate growth, including expanding distribution into new cities and channels, strengthening the brand through marketing and category-building, driving innovation in adjacent product categories and using technology and analytics to optimize the company’s fresh, daily-delivered supply chain.”
This strategic partnership not only highlights iD Fresh Food’s commitment to growth but also positions it to capitalize on emerging trends in the food and beverage industry. By aligning with Apax Partners, iD Fresh Food is well-poised to thrive in an ever-evolving market landscape.