Sequoia leads $8M second funding round at energy drink maker Hector Beverages
Gurgaon-based Hector Beverages Private Limited has raised $8 million in its second round of funding. The investment was led by Sequoia Capital, with participation from existing investors Infosys co-founder Narayan Murthy's fund Catamaran Ventures and Footprint Ventures. The firm will use the money primarily for marketing and expansion of production capacity.
The company’s flagship brand is Tzinga Energy Drink was launched two years ago. It’s distributed across different cities and is popular in markets like Bangalore, Goa, and the Northeast states. The new funding will help Hector Beverages make ‘Tzinga’ a pan-India drink.
Neeraj Kakkar, CEO, Hector Beverages, said, "We are delighted to have Sequoia Capital as a partner in this journey. Sequoia's legacy, network, expertise in consumer area and the quality of its team were all key parameters which made the decision very easy."
In 2011, Catamaran and Footprint Ventures, along with four angel investors, had invested Rs 6 crore in Hector Beverages. Media reports reveal that Catamaran and Footprint Ventures invested Rs 2.5 crore each in the company. The other investors contributed the rest. The company was started in 2009.
"Tzinga is a pioneer in the energy drink category in India with innovations on product, packaging and distribution. We are delighted to partner with Neeraj and his team in building an enduring franchise in the functional beverages space, " said VT Bharadwaj, managing director, Sequoia Capital India Advisors.
Sequoia Capital in India currently manages funds capitalised at close to $1.4 billion and invests across venture, growth and late-stage opportunities. Over the last five years, Sequoia Capital has invested in more than 50 companies in India, including Café Coffee Day, Idea Cellular, Just Dial, Manappuram Finance, Paras, Quick Heal, Micromax, Mu Sigma and Vasan Health Care.