Bakingo raises USD 16 million from Faering Capital

Online bakery product seller Bakingo on Monday said it has raised its first-ever round of growth capital of USD 16 million (over Rs 130 crore) from private equity firm Faering Capital.

With this investment, the company is looking to further strengthen its distribution footprint by expanding from 75 dark kitchens to 150 and entering 10 new cities, according to a statement.

"The company also plans to open exclusive brand stores for customers to experience the product and to invest in technology to enhance its production, supply chain and forecasting capabilities," the statement said.

Bakingo has its services across 13 cities in India, including Gurugram, Delhi, Noida, Bengaluru, Hyderabad, Mumbai, Jaipur, Chandigarh, and Lucknow, and plans to add another 10 cities in the next two years.

"We are in a prime position to be the pioneering National Bakery and Gifting platform. This growth capital investment by Faering Capital will propel us in executing our vision and scaling nationally," Bakingo Co-founder Himanshu Chawla said in a statement.

In 2016, Chawla along with Shrey Sehgal and Suman Patra founded Bakingo.

"We admire how Himanshu, Shrey, Suman, and the Bakingo team have built an around Rs 200 crore profitable brand that consistently delivers customer delight across the country. Even more impressive is that they have built the company bootstrapped, without any external funding," Faering Capital Co-founder and Managing Director Sameer Shroff said.

Shroff will join the board of directors of the company.