Milk producer and distributor Country Delight has raised $25 million (Rs 185 crore) in its Series C round of funding led by Elevation Capital (formerly SAIF Partners).
IIFL AMC also joined the round as a new investor. Besides, existing backers Matrix Partners India and Orios Venture Partners also pumped in additional money, the company said in a statement.
The capital will be primarily used by Country Delight to expand its product portfolio. It will soon launch a broader set of food essentials such as fruit & vegetables, cold-pressed edible oils, wheat, batters, pulses, spices, pickles, and jams.
"The company has a truly unique business model and is one of the few consumer businesses in India with phenomenal retention metrics. We are super excited to partner with them in this journey of creating India's most-loved pure & fresh daily essentials brand," said Deepak Gaur, partner at Elevation Capital.
The company had also earlier this year raised fresh funding from Matrix Partners India and Orios Venture Partners.
Country Delight, operated by Beejapuri Dairy Pvt. Ltd, was founded by Chakradhar Gade and Nitin Kaushal in 2013.
The firm offers delivery of fresh milk, paneer, curd, and ghee to homes via subscription model. It sources its products directly from dairy farms and currently caters to customers in Delhi-NCR, Mumbai and Pune. It claims to be serving nearly 1.5 lakh households across key cities in India.
The company's net sales more than tripled to Rs 65 crore in the fiscal ended 31 March 2019, according to VCCEdge, the research arm of Mosaic Digital. Its earnings before net interest, taxes and depreciation and amortization (EBITDA) loss expanded to Rs 14 crore for the year ended 31 March 2019 from Rs 2 crore in the previous fiscal.
Country Delight competes with the likes of DailyNinja, BBDaily and Milkbasket in the daily subscription-based segment. The space has seen consolidation in the recent past.
Online grocery platform Bigbasket, operated by Supermarket Grocery Supplies Pvt. Ltd, had fully acquired micro-delivery startup DailyNinja early this year.
It was also in talks to buy DailyNinja's peer Milkbasket, which recently raised a small round of funding from Inflection Point Ventures.