Dairy News

Dairy brand Osam raises Rs 45 crore from Lok Capital and Aavishkaar

Wednesday, 30/11/2016

http://timesofindia.indiatimes.com/venture-capital/Dairy-brand-Osam-raises-Rs-45-crore-from-Lok-Capital-and-Aavishkaar/articleshow/55698372.cms

BENGALURU: Ranchi-based HR Food, which manufactures and markets dairy products under the brand Osam, has raised Rs 45 crore ($6.7 million) in Series B funding from Lok Capital and existing investor Aavishkaar. The funds will be utilized to expand its production capacity and further its distribution reach into neighbouring districts in Jharkhand and Bihar.

Launched in 2015 by Abhinav Shah, Rakesh Sharma, Abhishek Raj and Harsh Thakkar, Osam has a procurement network with more than 10,000 dairy farmers, processes around 40,000 litres of milk per day, and sells products through a network of 3,000 plus retailers across Jharkhand."Given the large opportunity in the dairy industry and the significant scope for high-quality private sector players to operate in the space, Lok is keen on backing integrated business models that make dairy and agriculture more sustainable for farmers," said Rajesh Babu, Director, Lok.

HR Food has acquired a dairy plant in Jharkhand and is looking at other acquisitions to capture a significant share of eastern India's dairy market. This is Lok's first investment in the dairy sector and second investment in the agriculture space, following earlier investment in a Pune-based company, SV Agri Processing.