Online fresh produce brand Licious raises $30m in Vertex Growth-led round

India-based Licious, an online meat and seafood ordering startup, has raised US$30 million in a series E funding round led by global growth stage-focused Vertex Growth Fund.

Licious co-founders Abhay Anjura (left) and Vivek Gupta / Photo credit: Licious

Existing backers 3one4 Capital, Bertelsmann India Investments, Vertex Ventures Southeast Asia and India, Nichirei Corporation, and Sistema Asia Fund also participated in the round, according to a statement.

Founded in 2015, the company aims to disrupt the traditional meat and seafood industry, which is worth around US$40 billion today and is “in dire need of tech intervention,” said Licious founders Abhay Hanjura and Vivek Gupta.

“The fact that 92% of the Indian meat and seafood industry is still unorganized indicates the huge underserved community that exists, as well as the opportunity that this sector has to offer,” the founders said.

With the funding, Licious plans to extend its presence to more Indian cities while also scaling up in its existing markets. The startup also plans to bolster its omnichannel footprint, make new hires, and launch new products with an emphasis on the ready-to-eat category.

Though the exact terms of the deal were not disclosed, sources told The Economic Times that the latest investment brought the value of Delightful Gourmet, the owner and operator of Licious, to around US$250 million to US$300 million.

Prior to its latest round, Licious raised US$25 million late last year in a series D round led by Nichirei, one of Japan’s top producers of frozen foods. It also secured the same amount in September 2018 in a round led by Bertelsmann India, UCLA Investment Company, and Vertex Ventures Southeast Asia and India.

Licious is currently present in seven cities in India, claiming to process over 17,000 orders a day. The startup also said it has clocked in a healthy growth rate of 300% year on year and aims to reach about US$141 million in revenue by 2023.