Cloud kitchen operator Curefoods India has filed preliminary documents with market regulator SEBI to seek approval for its initial public offering (IPO).
According to the draft red herring prospectus (DRHP), the proposed IPO will include a fresh issue of shares worth ₹800 crore, along with an offer-for-sale (OFS) of 4.85 crore equity shares by existing shareholders.
As part of the OFS, stakeholders such as Curefit Healthcare, Iron Pillar PCC, Crimson Winter, Accel India V, Chiratae Ventures India Fund IV, Global eCommerce Consolidation Fund, and Alteria Capital Fund will offload shares.
The Bengaluru-based company, which owns brands like CakeZone and Nomad Pizza, also intends to raise up to ₹160 crore through a pre-IPO round. If the company completes this placement, it will accordingly reduce the size of the fresh issue.
Curefoods plans to allocate ₹152.54 crore from the IPO proceeds toward expansion and equipment. This includes ₹126.32 crore for setting up new Krispy Kreme cloud kitchens, restaurants, kiosks, and central kitchens; ₹19.91 crore for expanding select existing kitchens by adding new brands; and ₹6.31 crore for the purchase of machinery and equipment.
Additionally, Curefoods plans to allocate ₹126.93 crore from the IPO proceeds toward debt repayment, ₹40 crore for lease payments on its existing properties across India, and ₹14 crore for sales and marketing activities.
The company also intends to invest ₹91.96 crore in its subsidiary Fan Hospitality Services, ₹11.35 crore in Cakezone Foodtechs, and ₹81.15 crore to increase its shareholding in three other subsidiaries—Millet Express Foods, Munchbox Frozen Foods, and Yum Plum.
A portion of the proceeds will be reserved for future acquisitions, strategic initiatives, and general corporate purposes.
Curefoods India, a tech-enabled multi-brand food services platform, offers a wide range of cuisines through a mix of cloud kitchens, kiosks, and dine-in restaurants, catering to both delivery and non-delivery customers.
JM Financial, IIFL Capital Services, and Nuvama Wealth Management are acting as the book-running lead managers for the IPO.
