- Name of the Company: Subko
- Industry: Specialty coffee roasting and craft baking
- Funding Amount: $10 million in a fresh funding round
- Funding Date: NA
- Dilution Percentage: NA
- Date of Inception: NA
- Details about the Founder: Founded by Rahul Reddy, Subko specializes in providing caffeinated beverages with baked bread-pastries and coffee roasters, operating through direct trade relationships with coffee estates and smallholder farmers.
Subko, a Mumbai-based specialty coffee roaster and craft bakehouse, has secured $10 million in a fresh funding round led by Nikhil Kamath, co-founder of Zerodha, through his private equity firm NKSquared. This investment, along with contributions from Blume Founders Fund, The Gauri Khan Family Trust, and actor John Abraham, among others, has propelled Subko’s valuation to $34 million.
Company Overview: Founded by Rahul Reddy, Subko provides caffeinated beverages with baked bread-pastries and coffee roasters, operating through direct trade relationships with coffee estates and smallholder farmers involved in harvesting and processing coffee and cacao.
Funding Details: The funding will be utilized to enhance Subko’s talent pool and develop tech-enabled customer experiences. It will also support research and development for product design and the improvement of farm-level infrastructure for specialty green coffee and fine cacao beans.
Founder’s Vision: Rahul Reddy, Founder and CEO of Subko, expressed gratitude for Nikhil Kamath’s investment, stating that it not only represents financial support but also validates the brand’s potential.
Investor Perspective: Nikhil Kamath, co-founder of Zerodha, emphasized the importance of Subko as a distinctive Indian brand delivering unique experiences to the world. He praised the brand’s evolution and expressed his excitement about its future.
Future Plans: With the funding, Subko plans to launch new ‘ready-to-drink’ coffee products and compete with players like Third Wave Coffee, Sleepy Owl Coffee, and Blue Tokai. Nikhil Kamath is also an investor in Third Wave Coffee, indicating his confidence in the specialty coffee space.
Industry Trends: Investor interest in the specialty coffee sector has been on the rise, with Mumbai-based AbCoffee also recently securing funding. Subko’s successful funding round reflects the growing demand for high-quality coffee experiences and the brand’s commitment to delivering exceptional products to its customers.