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Bengaluru, India – Curefoods India, a prominent Bengaluru-based cloud kitchen operator, has taken a significant step towards its next phase of growth by filing preliminary papers with the Securities and Exchange Board of India (SEBI) for an Initial Public Offering (IPO). The proposed IPO aims to raise a substantial ₹800 crore through a fresh issue of shares, alongside an offer-for-sale of 4.85 crore equity shares by existing investors, including notable names like Accel, Chiratae Ventures, Nordstar Partners, Iron Pillar, Alteria Capital, and Curefit Healthcare.
This public offering represents a landmark event for the Indian cloud kitchen sector, signaling its maturation and growing investor confidence in its long-term viability and scalability. It provides a clear pathway to profitability and substantial scale for multi-brand cloud kitchen operators, moving beyond early-stage venture funding towards public listings.
Strategic Allocation of IPO Proceeds
Curefoods India plans to strategically utilize the proceeds from the IPO to fuel aggressive expansion across various formats. A significant portion, ₹152.54 crore, is earmarked for setting up new Krispy Kreme cloud kitchens, restaurants, kiosks, and central kitchens. Additionally, ₹19.91 crore will be allocated for expanding certain existing cloud kitchens through brand additions, and ₹6.31 crore for other related expenses.
Beyond new infrastructure, the company intends to use ₹126.93 crore for debt repayment and ₹40 crore for lease payments for its current properties in India. A further ₹14 crore will be invested in sales and marketing efforts to enhance brand visibility and customer acquisition. The IPO proceeds will also support strategic investments in subsidiaries, with ₹91.96 crore for Fan Hospitality Services, ₹11.35 crore for Cakezone Foodtechs, and ₹81.15 crore for acquiring further shareholding in Millet Express Foods, Munchbox Frozen Foods, and Yum Plum. A portion of the funds will also be reserved for future acquisitions and strategic initiatives, along with general corporate purposes.
Curefoods: A Multi-Brand Powerhouse
Curefoods India operates as an internet-driven multi-brand food services company, offering a comprehensive range of cuisines through various channels, including cloud kitchens, kiosks, and restaurants. Its diverse brand portfolio includes popular names such as CakeZone, Nomad Pizza, EatFit, and Sharief Bhai Biryani.
The company has demonstrated robust financial performance, reporting an operating revenue of ₹746 crore in FY25, marking a 27% growth over the previous year.[20] Notably, Curefoods has also succeeded in narrowing its losses marginally to ₹170 crore from ₹172 crore in FY24, indicating improving unit economics and operational efficiencies. Brands like Sharief Bhai Biryani emerged as a top revenue contributor in FY25, accounting for nearly 20% of sales, closely followed by EatFit at 19.47%, with Olio and CakeZone also contributing significantly. CEO Ankit Nagori leads the company, holding a 30.3% stake.
The Evolving Cloud Kitchen Landscape
The cloud kitchen model has rapidly gained traction in India, driven by increasing demand for convenient food delivery and lower operational overheads compared to traditional dine-in restaurants. This sector has attracted significant venture capital over the past few years, with companies focusing on building a portfolio of virtual brands to cater to diverse culinary preferences.
Curefoods’ IPO filing underscores a broader trend of consolidation and professionalization within the cloud kitchen industry. As companies scale, they are increasingly seeking public markets for capital to fund aggressive expansion, invest in technology, and acquire smaller players to gain market share. The strategic allocation of IPO proceeds for both organic expansion and potential mergers and acquisitions highlights the aggressive growth strategies employed to consolidate market leadership in a highly competitive landscape. The ability of Curefoods to narrow its losses while continuing to expand further validates the viability of the cloud kitchen model as it moves towards profitability.
JM Financial, IIFL Capital Services, and Nuvama Wealth Management are serving as the book-running lead managers for Curefoods’ public issue. The success of this IPO will not only provide Curefoods with the necessary capital for its ambitious growth plans but also set a precedent for other cloud kitchen and food tech startups eyeing public listings in India. It marks a pivotal moment for the sector, affirming its potential as a significant and sustainable segment of the Indian food economy.
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