Odisha-based dairy company Milk Mantra wants to take its milkshake brand MooShake to the top 15-20 cities in the next 18-24 months.
The functional beverage brand debuted in Bengaluru this year, followed by a launch in Hyderabad.
The start-up, which is backed by investors such as Fidelity Investment, IDBI Bank and other angel investors, is also looking to raise about ₹200 crore through VC or private equity firms.
Srikumar Misra, Founder & CEO, said the company hopes to raise the funds over the next six to 12 months.
The funds will be used to expand the distribution of its products including MooShake and add more production capacity.
“The size of the milkshake segment is pegged at ₹1,200-1,500 crore. We believe it will become a ₹3,500-crore category in the next four-five years. We want to be the challenger brand in this segment, with our curcumin blended milkshake.
The per capita consumption for dairy products is low in the country compared to others and we believe it has a huge potential to grow,” said Misra.
Curcumin is the active ingredient found in turmeric.
The company also sees potential to take its products like probiotic yoghurt to other key cities beyond the Eastern region.
Misra said the company will focus on the South and West first, and launch in cites like Chennai and Mumbai. The company will also add new variants to MooShake.
On the plans for its fresh dairy products such as milk, buttermilk, probiotic curd and paneer under its flagship brand MilkyMoo, he said the company will focus on strengthening its presence in the Eastern region.
“We are seeing strong growth for the company. We closed last year with a turnover of about ₹75 crore and we expect to nearly double and close this year with about ₹140 crore,” added Misra.