Consumer food brand Yu has successfully raised ₹55 crore ($6.5 million) in a Series B funding round, co-led by prominent investor Ashish Kacholia and the Asian Promoter Group. The funds will be used to expand Yu’s distribution network and enhance its product offerings in the fast-growing food and beverage industry. Early investors in the brand have reportedly exited with more than 4x returns, showcasing Yu’s rapid growth and strong market presence.
Strategic Use of Funds for Growth
The fresh capital will be channeled into scaling Yu’s distribution, with plans to penetrate deeper into both offline and online retail channels. The company also aims to strengthen its food portfolio and broaden its beverage range with the newly launched 100% natural fruit juices. Yu continues to stand by its commitment to delivering products with no added sugars or concentrates, ensuring healthier alternatives for consumers.
Yu’s Omni-Channel Success
Founded in 2021 by Bharat Bhalla and Varun Kapur, Yu is known for its wide range of instant food and beverage products made from 100% natural ingredients. Initially launched with instant noodles and pasta, Yu’s product line has grown to include ready-to-cook options and beverages that prioritize health-conscious ingredients.
Yu has rapidly expanded its presence through an omni-channel distribution network, now available in over 7,500 stores across India. It has a strong online presence on Q-commerce platforms such as Blinkit, Swiggy Instamart, and Zepto, as well as e-commerce giants Amazon, Flipkart Grocery, and Dmart Ready. Additionally, Yu has entered the institutional sector, with partnerships with airlines like Akasa Air and SpiceJet.
Expanding International Footprint
Yu has not only established a robust domestic presence but also ventured into the South African market, where its products are now sold in over 2,000 retail outlets. This international expansion is a testament to the brand’s growing appeal and the global demand for healthier, convenient food options.
Looking Ahead
With this latest infusion of capital, Yu is well-positioned to further expand its footprint in both the domestic and international markets. By leveraging its natural ingredient-driven approach, the brand aims to continue redefining the instant food and beverage category for health-conscious consumers worldwide.
