Bengalluru, Akshayakalpa Organic, an organic dairy enterprise, said it is raising $15 million in a Series B funding round from both existing and new investors.
British International Investment (BII), the UK's development finance institution, Rainmatter Foundation, and its existing investor Venture Dairy have joined the Series B financing. The funding would strengthen Akshayakalpa’s efforts for promoting, and growing sustainable and regenerative farming while providing premium organic milk to its consumers.
Akshayakalpa plans to invest in Bengaluru, Chennai, and Hyderabad markets, and expand into new geographies of Pune, Mumbai and Kochi. It plans to take its organic dairy products across the country.
"Over the last few years, consumers have become more conscious about living healthier lifestyles,” said Shashi Kumar, co-founder and CEO at Akshayakalpa Organic. “We will continue to serve more customers while deepening our efforts to create sustainable farming systems," he added.
Veda Corporate Advisors was the exclusive financial advisor to Akshayakalpa and its shareholders. Before this, Akshayakalpa Organic raised Series A funding from Lok Capital and Venture Dairy in July 2019.
Akshayakalpa said it will be able to add more impetus to its farmer entrepreneurship initiatives. Founded by Dr GNS Reddy and Shashi Kumar, Akshayakalpa Organic is one of the biggest organic milk producers in the country. It has seen significant growth at a Compound Annual Growth Rate (CAGR) of 60 per cent in the last five years.
The firm works with over 750 farmer families. It supplies organic milk and milk products to 60,000+ consumers daily in Bengaluru, Hyderabad, and Chennai through its direct delivery platform. Its products are available across 2,000+ retail outlets and all the major e-commerce/quick commerce platforms.
"Our capital will support its (Akshayakalpa’s) expansion, increase productivity and improve income for farmers while also bringing sustainably farmed products directly to more consumers,” said Manav Bansal, managing director and head of India, BII.
Nithin Kamath, Founder and CEO of Zerodha and Rainmatter said the processes that Akshayakalpa have in place to ensure sustainable milk production and the support they offer to improve farmer livelihoods are impressive.
Dr Trevor Tomkins, Founder of Venture Dairy, said the Indian Dairy industry is witnessing robust growth. “Organic products are in demand for their health attributes. We strongly support the company (Akshayakalpa) for the differences it is making,” said Tomkins.