Sauce and dip maker Vivan Foods Pvt. Ltd, which sells products under the brand Fric Bergen, has raised an undisclosed sum from early-stage investment platform Mumbai Angels Network, a statement from the investor said.
The company will use the fresh capital to offer new products, the statement added.
“We’ve introduced new flavors such as tandoori mayonnaise and pizza and pasta sauces to appeal to a diversified modern customer base. We plan to further expand our presence in various segments such as honey-based products, sugar-free sauces, and juice concentrates, amongst others,” said Vivek Singh, co-founder of Vivan Foods, in the press note.
Going forward, the company said it will increase its focus on selling its products in more retail outlets. Currently, its distribution network comprises over 10,000 retail outlets across India, the statement said.
“By the end of 2020, we plan to shift our retail revenues to 85% and hotel, restaurant and catering would be only around 15%,” the firm's other co-founder Rohit Agarwal said in the note.
Gurugram-based Vivan Foods was founded by Agarwal, Singh and Vandana Singh in 2008.
The company's Fric Bergen product portfolio includes a variety of mayonnaise, ketchups, sauces, dips and jams.
“Our focus is to cater to the masses. With prices of our products being as low as Rs 10, consumers usually end up buying two to three variants in one go,” said co-founder Agarwal.
Mumbai Angels Network
The network has more than 300 investors on its platform who have made over 125 investments.
This year, Mumbai Angels invested two other snack brands.
In October, it put in money in Snackible, along with equity crowdfunding platform 1Crowd, and in September, it invested in fruit snack maker Frubites.
Deals in the space
A number of companies in the speciality food sector have inked deals in the past.
In July, Singapore-based CCube Angels Network invested Rs 3.5 crore (around $515,000) in health- and nutri-foods maker Inner Being Wellness Pvt. Ltd, which operates under the brand ‘Inner Being’.
In June, VCCircle reported that Nikhil Vora, founder of consumer sector-focussed venture capital firm Sixth Sense Ventures, had invested in Mumbai-based Saucery Foods.
In April, Mumbai-based packaged food startup Yumlane raised $4 million (Rs 26 crore) in a Series A round of funding led by Singapore-based RB Investments.
In October 2017, Veeba Food Services Pvt. Ltd had raised over $6 million (Rs 40 crore) in its Series C round of funding led by existing investor Verlinvest, a private Belgian family investment company.