Radiohead Brands, the parent company of Jimmy’s Cocktails, a direct-to-consumer (D2C) food and beverages (F&B) startup, announced that it has raised an additional $1.3 million in extended pre-Series A led by Parth Ventures, where angel investors, including Vijay Shekhar Sharma of Paytm, Neel Bahl, and existing investors such as Keki Mistry, Vishesh Khurana, 7Square Ventures, Vidur Talwar, and Anirudh Somani also participated.
Radiohead Brands Expansion into Energy Drinks Category and Growth Plans
The Radiohead Brands, which currently operates in the cocktail and sparkling mixers category, plans to utilize the fresh funding to expand its product portfolio and establish a strong presence in the energy drinks space. The startup recently ventured into the energy drinks segment with the launch of its product called Hustle. CEO Ankur Bhatia stated that the company aims to disrupt the packaged beverages category by building a multi-beverage brands company focused on premium quality products, innovative positioning, and distinctive packaging.
Backing from Parth Ventures and Company’s Valuation
Piyush Goenka, the founder of Parth Ventures, expressed confidence in Radiohead Brands and its potential in the premium beverages segment in India. He praised the team’s expertise in brand building and distribution. Founded in 2019 by Ankur Bhatia and Nitin Bhardwaj, the startup had previously raised $1.8 million in a pre-Series A funding round led by Roots Ventures in April 2022. The company has experienced remarkable growth, with its valuation increasing threefold over the past year and twentyfold since its inception.
Radiohead Brands Expansion Plans and Revenue Growth
With the new funding, Radiohead Brands intends to enter various new product categories in the coming years. The company aims to achieve an annual run rate (ARR) of INR 100 crore by 2024. In the fiscal year 2022-23 (FY23), the startup reported a 75% year-on-year (YoY) revenue growth. The products under the Jimmy’s Cocktails brand are currently available in over 20,000 outlets across 50 cities. The company sells its products through both ecommerce marketplaces and its own website.
Competition and Growth Prospects in Non-Alcoholic Drinks Market
Jimmy’s Cocktails competes with major players in the non-alcoholic drinks market, including PepsiCo, Coca-Cola, Hector Beverages, and Red Bull. The non-alcoholic drinks market in India has grown. Sales have increased due to discretionary spending and the rise of D2C brands. A report predicts that the market will reach INR 60,180 crore by FY27. This indicates growth opportunities for Radiohead Brands and other players in the sector.
