An Indian food tech startup, HungerBox, has attracted the country’s top companies to use its services. Today, the company announced that it has raised $12 million from Paytm and others as it looks to sign clients in Southeast Asia.
In a Series C financing round, the three-year-old startup was funded by a group of Indian and international investors, including payments firm Paytm and NPTK, an Asian VC fund that invests in emerging firms. Sabre Partners and Neoplux which are its existing partners also participated in the round, which makes the Bangalore-based startup’s to-date raise of $16.5 million.
What does HungerBox do?
HungerBox provides management services to companies and institutions to improve and run their in-house cafeterias and canteens. HungerBox also offers its clients to connect with food partners through an app and get real-time updates of their order.
Sandipan Mitra, co-founder and chief executive of HungerBox said that they also provide a point-of-sale machine that helps them to get better insight about the quality of food being provided to their employees, which eliminates address the long queues.
“We all talk about the food delivery to consumers, but not many are looking to improve the quality of food and how it is being catered to tens of millions of employees in the country each day”, he said. “It’s a challenge that has not been addressed well”.
It turns out, when a startup finally entered into the space, many jumped in to appreciate it. Across 18 Indian cities, HungerBox has assembled more than 126 large businesses and institutions with more than 100,000 employees each, said Mitra. Food delivery startups Swiggy and Zomato are also delving into this space, too, in recent quarters.
Mitra claimed that 560,000 orders are being processed by HungerBox each day, a figure that is growing 10% every month. The startup’s solutions are integrated at more than 535 cafeterias for its clients that work in IT / technology, retail, healthcare, aviation, education, financial services, and manufacturing. He declined to reveal the name of the clients, following confidential agreements.
He pointed out that the annual food sales on the HungerBox platform have surpassed $100 million.
The fresh capital will be used to expand its existing workforce of 1,500 people in 10 additional Indian cities and to markets in Southeast Asia, said Mitra.
In a statement, Madhur Deora, president of Paytm, said HungerBox has aided Paytm to add new use cases for the company’s payments business and digitization of offline transactions.
“HungerBox is the market leader in the institutional food tech space and we will partner closely with them and bring the benefits of Paytm’s ecosystem to HungerBox,” he said.
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