Shedding its South Indian tag, the Coimbatore-based TABP Snacks and Beverages will soon foray into Western and Eastern Indian markets with an ambitious aim of achieving a gross merchandise value (GMV) of Rs 100 crore in the fiscal year 2022–23. The snacks and beverages from TABP are priced at Rs 5 and Rs 10, respectively, and target customers are from the bottom of the pyramid layer.
Prabhu Gandhikumar, Co-founder and MD, TABP Snacks, and Beverages, said, “Covid shutdowns and supply chain disruptions have hit our business hard. We had muted growth during the past two years. However, we didn’t sit idle. We actively invested in expanding the company’s distribution network and strengthening the sales force. So, our investments during our hard times have started yielding good results. We amassed the previous year's total sales in the first quarter of 2022–23. Now we are poised for expanding footprint.”
TABP presently retails its beverages and snacks in Tamil Nadu, Kerala, Karnataka, Andhra Pradesh, and Telangana. The company plans to enter new cities in Maharashtra, Goa, West Bengal, Odisha, Chhattisgarh, and Jharkhand.
“With these expansion plans in place, we are headed towards achieving a gross merchandise value of Rs 100 crore in the 2022–23 fiscal,” Gandhikumar added.
Incepted with a seed capital of Rs 2.5 crore in 2018, TABP is looking to raise another Rs 20 crore in the 2023–24 financial year from the existing investors to fuel expansions. The company has invested around Rs 18 crore to spice up its business.
The company’s key investors include Arun Mukherjee, a leading share market investor; Anirudha Sarkar, CIO, Quest; Kaushik Chatterjee, CFO, Tata Steel; Bhaumik Bhatia, Fund Manager, Birla Sun Life; Aniket Gore, President Indian Metallurgy Association among others.
“We do not have a cash crunch right now. Since the funding environment has become very, very tight, we want to be conservative and we have to be very careful with the cash we have in hand. We want to be in a very comfortable position as we tread ahead,” he concluded.