Kolkata-based quick service restaurant Wow! Momo Foods has raised Rs 350 crore from Khazanah Nasional Berhad, Malaysian sovereign fund investment firm, The Economic Times reported.

The investment in Wow! Momo Foods will involve both primary infusion and secondary purchase from early-stage investors, including the Indian Angel Network (IAN) and Lighthouse Funds. Additionally, existing investor OAKS Asset Management has contributed an additional Rs 60 crores in funding.

Founded in 2008, the company has experienced significant growth in the past year. According to Tracxn, its revenue has surged from Rs 222 crore in FY22 to over Rs 400 crore in FY23. The chain has expanded both its number of outlets and its presence in various cities during this period.

Commenting on the announcement, Sagar Daryani, CEO and co-Founder, Wow! Momo Foods said, “There is no greater joy for a founder than giving its initial investors (Indian Angel Network (IAN) and Lighthouse Funds) great partial exits. For us, the Bharat Story has just begun with a huge headway of growth. With Khazanah’s investment into the business and their long-term approach, we will strive to become the powerhouse of innovation and transformation in the food space while keeping a strong balance between sustainability, growth, and backing breakthroughs”.  

Dato’ Amirul Feisal Wan Zahir, managing director, Khazanah, said, “We are excited to be on the journey with Wow! Momo in their mission to build the largest QSR brand in India. We aim to encourage the growth of Wow! Momo through enhanced scalability, technological fortification, and focusing on building a strong back-end capability to support its growth.”     

Vishal Ootam, founder, and CEO of OAKS Asset Management, said, “In our journey with investments in other F&B brands, we have realised that long-term thinking and dynamic leadership are essential. We feel that Wow! Momo has both. We feel that Wow! Momo will not only gain dominance in the domestic market but also be the first globalized QSR company from India. We are ready to scale with the brand.”

The company has more than 630 outlets in over 35 cities. It is planning to add over 200 outlets in the coming fiscal year, as per the reports.

The start-up witnessed a revenue surge of over 2X, reaching Rs 219.8 crore in the fiscal year 2021-22, compared to Rs 106 crore in the previous fiscal year.

In its 2022 Series D funding round, the start-up secured Rs 125 crore from OAKS Asset Management, valuing the company at Rs 2,125 crore ($257 million). Before this, Wow! Momo raised $15 million in its Series C round from Tree Line Management. Notable backers include Tiger Global and Lighthouse.