Vahdam Teas, a Delhi-based startup has raised $2.5 Mn i.e. approximately INR 16 crores in its third round of fundraising which is led by its existing Fireside Ventures. The company is also planning to use the funds for expanding its presence in United States that has largest market of Vahdam. The biggest part of this raised capital would be used for the customer acquisition and brand building along with exploring the new markets in India.
Vahdam Trees was founded in the year 2016 by Bala Sarda is said to be the first online brand for tea. The Vahdam teas are procured from nearly 150 to 200 plantations and the tea growers in Nepal as well as in India. After undergoing the process of cleaning and packaging, the tea is then shipped to the various international markets within 12 working days.
The founder of Vahdam Teas, Bala Sarda said that, “We are excited to take the next steps in the growth journey at Vahdam Teas. Fireside Ventures has been one our earliest supporters and we are glad to have them back with us in this round as well. We have received tremendous customer appreciation for our teas and plan to keep building on the momentum.” Previously, the company has raised $1.4 Mn from the Fireside Ventures and till now the company has raised $4.12 MN.
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Vahdam Teas has one warehouse in Delhi and more three sourcing centres in Assam,Darjeeling and Nilgiris. The company also claims to have more than 200000 customers in early 85 countries. Vahdam has also successfully opened it New York in Indianapolis, wherein 70% of its revenue comes from. The company also claims of generating all its sales online, primarily from its own website and claims to have grown by 1,000% in the last two years.
The Managing Partner of Fireside Ventures said that “Vahdam Teas is an innovative brand that brings the best of Indian teas to mainstream global consumers. Fireside invested in the business in the previous round of investment as well and seeing the strong performance of the business, we are delighted to reinvest in the company. We will continue to back Bala’s leadership and passion to build a world-class global Indian brand.”
Tea for all in India
Vahdam Teas in terms of premium tea category is competing with Ratan Tata backed Teabox and the famous tea of West Bengal the Udyan Tea. Siliguri-based Teabox had also previously raised $6 Mn in Series A funding from JAFCO Asia, Keystone Group and Dragoneer Investment in March 2015. Tea is the beverage of choice for most Indians, who want it anytime, anywhere. Therefore, the market is full of startups catering to this love for tea online as well as offline.
