Summary:

  • Launched in 2021 by Bharat Bhalla and Varun Kapur, Yu has rapidly evolved into a dynamic, omni-channel brand.

  • This round was led by prominent investor Ashish Kacholia and the Asian Promoter Group.

  • The brand now boasts a presence in over 7,500 physical stores across India, ensuring it reaches consumers in multiple regions.

Yu, a fast-growing consumer food brand, has successfully raised Rs 55 crore ($6.5 million) in its Series B funding round, co-led by prominent investor Ashish Kacholia and the Asian Promoter Group. The company has also provided an impressive exit opportunity for some of its early-stage investors, with returns reportedly exceeding 4x of their original investments, underscoring its strong market performance and growth potential.

The new capital will play a pivotal role in Yu’s growth strategy. According to the company, the funds will be used to bolster distribution, enhance its food portfolio, and expand its beverage range. One of its key product innovations is the introduction of 100% fruit juices, free from concentrates and added sugars, which aligns with Yu’s commitment to offering healthier food and beverage options.

Launched in 2021 by Bharat Bhalla and Varun Kapur, Yu has rapidly evolved into a dynamic, omni-channel brand. It began with a focus on instant food products, particularly instant cup noodles and pasta, which quickly gained popularity for their convenience and natural ingredients. As the company expanded, it introduced a broader range of ready-to-cook noodles and pasta, as well as beverages crafted with all-natural ingredients.

Yu’s growth has been driven by its strategic distribution model, which spans both online and offline channels. The brand now boasts a presence in over 7,500 physical stores across India, ensuring it reaches consumers in multiple regions. On the digital front, it has established a strong footprint across quick-commerce platforms such as Blinkit, Swiggy Instamart, and Zepto, and e-commerce giants like Amazon, Flipkart Grocery, and Dmart Ready. Yu has also secured partnerships in institutional sectors, with its products being served on airlines like Akasa Air and SpiceJet.

Beyond its domestic success, Yu has ventured into international markets, with its products now available in over 2,000 retail outlets in South Africa. This global expansion highlights the brand’s ambition to capture a larger share of the fast-growing instant food and beverage sector, not just in India but also abroad.

As Yu looks ahead, the company is focusing on continued product innovation, strengthening its supply chain, and expanding its international footprint. With the recent funding, it aims to solidify its position as a leading player in the instant food and natural beverage market, appealing to health-conscious consumers seeking convenience without compromising on quality.