The company targets to have 50 stores per year over the next two years
Kolkata-based Wow Momo Foods, which owns and operates QSR brand Wow Momo, has raised Rs 44 crore in a Series-B round from investors led by venture capital firm, Lighthouse Funds at a 230 Cr Valuation.
The latest equity financing round has seen the company's first backer Indian Angel Network (IAN), the oldest and largest angel investor group in the country, partially exit the restaurant chain in less than two years.
Sachin Bhartiya, Partner, Lighthouse Funds, said, "We saw that with IAN's funding, and particularly through its internal accruals, the founders have built a great company... Wow Momo is catering to a growing Indian middle class that continues to ha ve greater disposable income and experiment with their food choices."
However, the angel investor collective has also exercised its preemptive option to participate in the latest round, with IAN members Sanjeev Bikhchandani, chairman of BSE-listed Info Edge, and Ashvin Chadha, who was formerly with India Equity Partners, participating in the transaction on its behalf.
The company will use the funds to expand its presence across the country. Wow Momo, which currently has 117 company-owned and operated stores across eight cities, is targeting to be in 180 cities over the next 12 months.
Sagar Daryani, CEO, Wow Momo, said, "The target is to have 50 stores per year over the next two years."