Hector Beverages Pvt. Ltd, the maker of Paper Boat beverages and packaged foods, has passed a special resolution to raise Rs 400 crore (about $50 million) in Series D funding from Singapore’s sovereign fund GIC Pte. Ltd, according to the company’s latest filing with the corporate affairs ministry.
The company is issuing 50,27,273 Series D compulsorily convertible preference shares to Lathe Investments Pte. Ltd, a subsidiary of GIC Fund. Post transaction, GIC Fund will own a 25% stake in Paper Boat maker.
Mint exclusively reported about the deal last week.
Hector Beverages said in the filings that it will use the funds for meeting capital expenditures and funding its business expansion plans, the company said in the regulatory filings.
Founded in 2010 by two former Coca-Cola executives – Neeraj Kakkar and Niraj Biyani, Hector Beverages retails packaged juices, coconut water, traditional Indian snacks like chikki and aam papad, and more.
The company has also marked its foray in dry fruits-based snacks and zero sugar snacks segment. The company claims that its products retail across 5 lakh outlets.
“The company is doing phenomenally well post-covid. We are at a run rate of Rs 700 crore, almost 100% growth over the last year’s number. We are profitable,” Neeraj Kakkar, chief executive officer (CEO) of Hector Beverages, said in an interaction with VCCircle last week.
Hector Beverages is aiming to become a house of brands by acquiring smaller players in the food and beverages (F&B) segment. CEO Kakkar told that the company’s goal is to be a platform for F&B innovation.
“We have the distribution pipe to launch innovation across the health and wellness spectrum. Our philosophy combines what Ayurveda has to offer with the scientific advances in F&B ingredients,” he added.
In the past, Hector Beverages has raised close to $100 million in multiple equity and debt deals. In 2020, the company raised Rs 28 crore from Sofina Ventures, A91 Emerging Fund I, SCI Growth Investment II and Catamaran Ventures.
