Apax invests over Rs 1,500 cr in iD Fresh Food

Mumbai, Jan 5 (PTI) Global private equity major Apax Partners has invested over Rs 1,500 crore in Bengaluru-based iD Fresh Foods for a significant minority stake, officials said on Monday.

Funds advised by Apax Partners have picked up over 35 per cent in the company, they said, adding that the stake has been bought from existing shareholders Premji Invest and TPG NewQuest.

The selling stakeholders will remain investors alongside the company's co-founder, PC Musthafa, and his cousins, a company statement said, without disclosing financial terms of the transaction.

The 2005-founded company has witnessed double-digit operating profit margins and has reported overall growth of 25 per cent over the past years, it said.

It started by supplying idli/dosa batter to local retailers and has since scaled to more than 50 cities across India and the Gulf. Employing nearly 2,400 people now, the company has developed a daily, direct-to-retailer cold-chain model that enables products like Idli/Dosa batter, Indian flatbreads, chutneys and sambar, and value-added dairy products to be sold for 5-7 days.

Musthafa said the Apax investment will allow it to accelerate growth, build capacity, broaden product range, and scale into more cities and markets.

"Our growth has been anchored in one simple belief, that consumers deserve fresh, honest food with no shortcuts," he added.

Apax's head of India, Harjot Dhaliwal said the PE fund will work closely with the management team and leverage its own consumer packaged goods expertise to accelerate growth, including expanding distribution into new cities and channels, and strengthening the brand through marketing and category-building. PTI AA DRR