Indian clean-label food brand Anveshan has raised Rs 150 crore (about $15.8 million) in a Series B funding round led by Vertex Ventures Southeast Asia & India.
The round also saw participation from the International Finance Corporation (IFC), a member of the World Bank Group, Swiggy co-founder Sriharsha Majety, and existing investors including Wipro Consumer Care Ventures, Titan Capital, Force Ventures, and boAt founders Aman Gupta and Sameer Mehta.
Founded in 2020 by Kuldeep Parewa, Akhil Kansal and Aayushi Khandelwal, Anveshan sells minimally processed food products including A2 bilona ghee, cold-pressed oils, raw honey, atta and other nutrition-focused products. It operates through a network of rural producers and micro-entrepreneurs across India.
The startup plans to use the raised capital to expand manufacturing capacity, develop new products, strengthen sourcing and procurement systems, and increase its presence across online and offline channels.
'This investment will help us strengthen our manufacturing and sourcing ecosystem, expand into newer categories, and make high quality clean food products accessible to a much larger consumer base across the country,' CEO, Kuldeep Parewa said.
The startup currently runs 16 manufacturing facilities across nine states and distributes its products through its own website, e-commerce marketplaces and quick-commerce platforms.
Parewa said demand for clean-label products was increasingly coming from smaller cities.
'Almost 50-55% of our revenue is coming from tier 2, tier 3 cities. We realise that consumers beyond the top cities are aware of what they should put in their body and want to buy clean products,' he said.
It plans to broaden its atta range, deepen investment in product innovation, strengthen its direct-to-consumer business and expand offline distribution.
Commenting on the investment, Vertex Ventures partner Kanika Mayar said, 'India's food and nutrition market is premiumising, with consumers seeking greater transparency, quality, and trust in the products they consume.'