abcoffee Secures Rs 61 Crore in Pre-Series B Funding

abcoffee, the grab-and-go coffee chain, has successfully raised Rs 61 crore (approximately $6.39 million) in a pre-Series B funding round spearheaded by Kliff Ventures. This round also included contributions from Hero Enterprise Partner Ventures, Merisis Venture Fund, and Stride Ventures.

Funding Utilisation for Expansion and Innovation

The company has indicated that the newly acquired funds will facilitate expansion into both existing and new markets, bolster supply chain and backend operations, improve technology infrastructure, and enhance customer engagement through subscriptions and product innovation.

Company Background and Performance

Established in 2022 by Abhijeet Anand, abcoffee now operates more than 90 outlets in Mumbai, Delhi-NCR, and Bengaluru, utilising compact grab-and-go store formats. The startup reported a doubling of its revenue in FY26, and the store-level EBITDA saw an impressive 193.2% increase year-on-year. Additionally, it has achieved a repeat customer rate of 60%.

Technology and Customer Engagement

More than fifty percent of takeaway orders at abcoffee are now placed via its mobile app. The subscription platform has successfully pre-sold over 40,000 beverages monthly, reflecting robust customer engagement.

Expanding Product Range

The company has broadened its product assortment to include matcha beverages and protein coffee under its Procaff brand. This strategic move aligns with current consumer trends favouring health-conscious options.

Competitive Landscape

In the highly competitive coffee market, abcoffee faces rivalry from brands such as Third Wave Coffee, Blue Tokai, Rage Coffee, Slay Coffee, Sleepy Owl, and Seven Beans Co., among others.

Previous Funding Achievements

Earlier in March 2024, the startup raised $3.4 million during its Series A funding round, led by Nexus Venture Partners with participation from current investor Tanglin Venture Partners.