The company hasn't disclosed the amount that they will raise in the Series A funding from institutional investors. Additionally, they are planning to have a seasoned QSR strategic partner.
Beamer Brands, the owner of the quick-service restaurant chain BIGGUYS, is planning to raise Series A funding that is supposed to be completed by September. The amount for the same hasn't been disclosed yet. They are also eyeing a seasoned QSR strategic partner.
Beamer Brands, a Bengaluru-based quick-service restaurant (QSR) company founded in 2016, operates four brands: Biggies Burger, Original Burger Co., and Bigg Café. The company aims to achieve Rs 500 crore in revenue by 2027.
Meanwhile, BIGGUYS aim to compete against KFC. “In India, fried chicken is synonymous with KFC; there is no alternative to it. So, we wanted to bridge the gap,” said Biraja Rout, founder of BIGGUYS.
The penetration of KFC is widespread in India. After the Covid-19 pandemic, KFC's and fried chicken's market share increased, going from 7 percent in FY19 to 10 percent in FY22, as reported by the Mint.
Last year, the company opened its 1,000th restaurant in the country. In contrast, BIGGUYS has 120 stores in Bengaluru, Chennai, Andhra Pradesh, and Odisha. In the next two years, the company plans to open 30–25 outlets annually.
Admitting that the company cannot compete with KFC in terms of offers or low pricing, Rout said, “We do not want to have a head-on fight with them based on the same category. We are creating a different category that is creating a niche in the market.”
The brand is trying to impart localized Indian flavors on its fried chicken to make it stand out. “Fried chicken is consumed a lot in Tamil Nadu and Andhra Pradesh, so we wanted to merge the local flavors of the region along with the fried chicken as a product,” added Rout.
Recently, BIGGUYS raised Rs 16.62 crore from NRIs. This investment comprises a combination of equity and other financial instruments. The platform intends to use the new funds to expand into cities including Bengaluru, Chennai, Odisha, and Andhra Pradesh.
Speaking about the fund raised by NRIs, Rout said, “There has been a great traction of foreign money coming back to India. A decent number of NRIs are investing in India. Franchising is becoming a secondary source of income for NRIs. So, we had three investors who were keen on investing in the equity market and taking some cluster rights.” Foreign institutional investors pumped in over Rs 26,000 crore in the month of June, returning after a few months of consistently offloading Indian equity.
The quick-service restaurant market is increasing in India. The Indian Quick Service Restaurant (QSR) market is projected to be valued at $25.46 billion in 2024 and is expected to grow to $38.71 billion by 2029, with a compound annual growth rate (CAGR) of 8.74 per cent over the 2024–2029 period, as per a report by Modor Intelligence.
Similarly, the number of Quick Service Restaurant (QSR) outlets in India saw a year-on-year growth rate of 8.41 per cent from 2021 to 2022, according to the report. This growth is linked to the increased meat consumption in the country, with per capita meat consumption rising from 6.15 kg in 2019 to 6.82 kg in 2022.