- Debt goes towards old loan repayment of INR 35 crores to Avendus Finance raised in 2018 and fresh influx of Growth capita
- The Company has availed the Loan Facility of INR 45 Crores now with an option to raise another 15 Crores by April 2021.
- Business is back to 65 % of Pre-Covid Numbers & is expected to touch 75 to 80 % of Pre-Covid numbers for October, 2020, keeping the festivity season in mind.
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Wow! Momo Foods -- which owns and operates two quick-service restaurant brands Wow! Momo and Wow! China – today announces raising 60crores debt funding from Anicut capital as it sees a bounce-back from the slowdown witnessed as the coronavirus crisis took hold. While a number of restaurant chains in India have filed for bankruptcy due to the on-going pandemic, Wow! Momo on the other hand continued to expand even at the time of global crisis.
From launching a new business vertical during lockdown to new outlets - to being the fastest to bounce back Wow! Momo has ensured they run, walk or crawl but never stop. One of the largest QSR chain in India, Wow! Momo currently has a total of 357+ stores across Delhi, Mumbai, Bangalore, Pune and Kolkata. Out of this 290+ are currently operational and over 60 of them are still shut & Yet to re-open.
From plummeting to 10 % of monthly business in April 2020 as compared to February 2020 to 65% of topline in September, the company is growing stronger with delivery business getting back to 180% if compared to pre-covid times. Wow! Momo recorded a whopping 3 lakhs online orders last month. The company expects to get back to 75 % to 80 % of Pre-Covid numbers in Octoberr with an aim to touch 4 lackhs online orders.
Talking about the announcement, Sagar Daryani, CEO & Co-Founder at Wow! Momo Foods, commented, "Ours has been a story of agility and adaptability. These crucial times may have brought our business down initially but we always found new ways and undertook initiatives which helped us stay afloat. We have been more robust than ever with a change in business models, newer collabaration with Café Coffee Day to open Shop-In- Shop formats. Setting up new business verticals & total of 31 new point of sale opening in past 6 months. We have also taken a conscious call to shut down over 30 non performing Outlets nationally & the compete focus is to get back to profitability at the earliest as was the scenario in Pre-Covid times "
Wow! Momo has been backed by The Indian Angel Network & Light House Funds in the past. Last year the company was valued at over INR 860 crores by US based Tiger Global with an infusion of INR 120 crores directly into the business & an additional 60 crores as a secondary partial exit to members of The Indian Angel Network who made a whopping 8x return against their initial investment.
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