Zappfresh , which runs online fresh fish and meat retailers, has acquired Sukos Foods-owned Dr. Meat. This marks its maiden acquisition by Zappfresh.
The acquisition of Dr. Meat would pave ZappFresh’s entry into Bengaluru which is one of the largest markets for D2C meat brands.
With this acquisition, Zapprresh is targeting Rs 70 crore topline from the Indian tech capital and Rs 300 crore overall in the current fiscal year, the company said in a press statement.
Founded in 2021, Dr. Meat is a meat provider which offers chicken nurtured with sustainable breeding practices on the outskirts of Bengaluru. According to Fintrackr, the company was in the pre-revenue stage until FY22 with losses of Rs 75 lakhs. It’s yet to file FY23 financial numbers with the RoC.
SIDBI VC, Dabour Family office, Let’s Ventures funded Zappfresh is also looking to acquire startups in the direct-to-consumer meat segment, the statement said.
Zappfresh is yet to file its financial statements for FY23 but it seems to be the only company in its space with actual profits. As per Fintrackr, its revenue from operations grew 13.% to Rs 56.4 crore in FY22 whereas the company’s profit spiked 2X to Rs 3.2 crore during the same period.
Zappfresh directly competes with FreshtoHome which posted Rs 102 crore revenue and Rs 477 crore loss in FY22 while Temasek-backed Licious’ topline stood at Rs 682 crore in FY22. The only unicorn and posterboy in the D2C meat space had a loss of Rs 855 crore in the same period.
