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Is Cafe Coffee Day in another fund raising process? Amalgamated Bean Coffee Trading Company (ABCTC) - the company which owns CCD and currently backed by Sequoia Capital India and International Finance Corporation (IFC) - is looking to penetrate across the country, besides Europe and the Middle East. These efforts may be funded by a fresh financing of $50 million from a few foreign banks or PE funds. Business Standard reports that Deutsche Bank and Darby Overseas Investments, a part of Franklin Templeton Investments, could be investing in Cafe Coffee Day's expansion plans. It's not clear if it would be debt or equity.

CCD may be in a hurry to capture the market especially when Starbucks has withdrawn its India plans for the time being. Also, CCD's main rival Barista has been acquired by Italy's Lavazza, and the competition in domestic market may just get tougher.

In July 2006, ABCTC raised $20 million from Sequoia Capital India. Around the same time IFC, the private equity arm of World Bank, provided an equity support of $5 million and a debt of $10 million (see IFC project summary). BS reports that CCD is looking at revenues of Rs 500 crore this year, about 33 per cent more than FY2006-07. CCD's divisions include Coffee Day Fresh n Ground (386 outlets), Coffee Day Xpress (500 kiosks), Coffee Day Take Away (7,000 vending machines), Coffee Day Exports and Coffee Day Perfect (packaged coffee).

The parent company ABCTC was set up by V G Sidhartha, a Bangalore-based entrepreneur, in 1993. He started his career as a stock broker - he set up Sivam Securities - in 1984. Sidhartha is also an angel investor, backing companies like MindTree and Ittiam Systems.

Related:

Sequoia Capital Invests $20 Million In Amalgamated Bean Coffee Trading

IFC Extends $15-Million Equity-cum-Debt Funding To Cafe Coffee Day