Hello Curry, which is a leading South Indian fast food chain specializing in instant and convenient delivery of healthy & hygienic food has acquired a food delivery start-up called First Chain as the former looks to carve out a sustainable revenue model.
The consideration of the deal is a mix of stock and cash while the acquisition amount has not been disclosed.
The acquisition of First Meal which runs on subscription basis is expected to enable Hyderabad-based Hello Curry that has been around since 2014, to foray into the breakfast and meal box categories. First Meal, a start-up formed last year, takes pre-orders, for delivery of tailor made food to its customers, ranging from one week to one month. Its breakfast menu includes five kinds of diet balanced items, while First Meal offers daily changing nutrition meal boxes, boasting of a monthly reach of more than 10,000 boxes.
With more than 30 outlets in prominent Indian cities of Hyderabad, Pune and Bangalore, Hello Curry, which is already churning out a profit, is aiming to strengthen its foothold in the bulging Indian fast food industry which is estimated to grow at a compounded annual growth rate (CAGR) of 18 per cent to USD 27.57 billion in 2020, according to a report by Research and Markets.
Hello Curry has set its sights on delivering 5,000 meals on a daily basis over the next six months, and the acquisition of First Meal has given the company more optimism of reaching the above target. Hello Curry which in March 2016 garnered a whopping USD 1.5 billion in bridge funding from Sashi Reddi and a US-based HNI, whose name remains undisclosed, is also planning to take its business global, with the Australian market first on its radar where it is set to open its first international outlet.