Bengaluru-based Dil Foods, a restaurant enablement platform, has successfully raised $7.5 million in a funding round led by Bikaji Foods family office. This investment also saw participation from Alteria Capital, along with existing investors V3 Ventures and MJV Ventures.
The funds will be directed towards expanding operations into new cities, particularly targeting tier-II and tier-III markets. Additionally, Dil Foods plans to diversify its cuisine offerings and bolster its supply chain capabilities.
Company Overview
Founded in 2022 by Arpita Aditi, Dil Foods operates 10 regional food brands across six cities, serving 340 pincodes. The platform collaborates with local restaurants, enabling them to sell food through various delivery platforms under its brand names.
Growth Objectives
With the new funding, Dil Foods aims to scale its operations to 600 locations by FY28, targeting an annualized revenue of Rs 500 crores. Aditi expressed confidence that this capital will help the company capture a larger share of the market.
Current Operations
Currently, Dil Foods partners with over 300 restaurants, providing them with technological support to adapt to changing consumer demands and develop new menu items.
Investor Insights
Arjun Vaidya, founder of V3 Ventures, highlighted the impressive growth of Dil Foods, noting that the company has expanded from 30 locations to a significant scale while maintaining capital discipline and a unique model in the cloud kitchen quick-service restaurant (QSR) sector.
Market Context
This funding round comes as the food delivery industry shows signs of recovery after a period of stagnation, as reflected in the recent performance of major players like Zomato and Swiggy.
Competitive Landscape
As Dil Foods grows, it will face competition from established QSR chains such as Rebel Foods and EatClub.
