Restaurant India News: abcoffee Raises Rs 61 Crore to Accelerate Expansion Across India

abcoffee has raised Rs 61 crore in a Pre-Series B funding round led by Kliff Ventures, the consumer retail investment platform launched by K Hospitality Corp. The round also saw participation from Hero Enterprise Partner Ventures, Merisis Venture Fund, and Stride Ventures.

The fresh funding will support the coffee chain’s expansion strategy across Mumbai, Delhi-NCR, and Bengaluru, while also helping the company enter high-density office, residential, and transit-driven micro-markets. The company plans to strengthen its presence in locations where premium coffee offerings remain limited despite rising daily consumption demand.

Industry analysts note that India’s organised coffee market is increasingly shifting toward smaller-format, high-frequency consumption models, driven by changing urban lifestyles, faster service expectations, and app-based ordering behaviour.

Founded in 2022 by Abhijeet Anand, abcoffee currently operates more than 90 outlets across key metro markets using compact store formats focused on takeaway and repeat consumption. The company’s menu includes coffee, matcha beverages, and protein-based drink offerings built around accessible pricing and quick service.

The company reported strong FY26 business growth, with revenue doubling year-on-year and store EBITDA increasing by 193.2 percent year-on-year. The business also reported a 60 percent high-frequency repeat customer rate, reflecting growing customer retention in India’s competitive café market.

Technology continues to remain central to the company’s operating model. According to the company, 54 percent of takeaway orders are now placed through the abcoffee mobile application. Subscription-led ordering has also gained traction, accounting for 50 percent of app orders and generating pre-sales of more than 40,000 cups of coffee and beverages every month for future consumption over the following 30 days.

Abhijeet Anand, Founder and CEO, abcoffee, said, “Coffee in India is moving from an occasional café experience to an everyday habit. abcoffee was built for that shift. Our model is simple: great coffee, served fast, priced accessibly, available wherever the customer needs it. This fundraise is a strong validation of our belief that India needs a new kind of coffee company, one that is smartly designed in format, technology-led in experience, and built for repeat consumption. With this capital and the operating depth of Kliff Ventures and K Hospitality, we are focused on scaling abcoffee into India’s default habit coffee brand.”

Karan Kapur, Executive Director, K Hospitality Corp and Kliff Ventures, added, “We believe abcoffee has the potential to emerge as the leading brand in India’s rapidly growing coffee category. We are excited to back Abhijeet, who over the past 4 years has scaled and built a differentiated business with strong customer love, disciplined execution and a compelling right to win. Through Kliff Ventures, we look to partner with ambitious founders building scalable and enduring consumer retail brands, and we are excited to join abcoffee in the journey ahead.”

The company has also expanded its product portfolio with launches such as Matcha and Procaff, its protein coffee range, reflecting growing demand for wellness-focused and functional beverages among urban consumers. It has additionally introduced abcircle, a customer rewards and engagement platform designed to encourage repeat purchases.

Hospitality and retail industry consultants say the rise of grab-and-go coffee formats highlights changing consumer behaviour in India, where speed, digital convenience, and subscription-driven purchasing are becoming increasingly important in the organised café segment.