Suite42, a B2B food processing company, raised $4.3 million in a seed funding round co-led by Omnivore and Orios Venture Partners.
Titan Capital, All In Capital, Pointone Capital and angel investors including Sujeet Kumar (Udaan) participated in the round. Suite42 provides manufacturing solutions for food processing, serving customers in the consumer packaged goods, food and grocery industries. Suite42 plans to use the financing for talent acquisition, launching commodity financing and piloting exports. Over the next 18 months, the start-up plans to work with B2B customers and 2,000 outlets in cities.
Suite42 said India has over 40,000 food processing units which suffer from multiple inefficiencies including low capacity utilization, lack of quality standardization, high wastage and limited access to working capital financing. . Suite42’s B2B food processing platform will solve these problems by identifying manufacturing partners, enabling fair price discovery, reducing processing costs, product development and ensuring quality standardization.
“We are excited to begin our journey of potentially redefining the food processing industry in India. Our mission is to empower food manufacturers in India by leveraging technology and creating efficient and standardized processes. As a result, brands and consumers will have access to premium products and ingredients at affordable prices,” said Rahul Ratan, co-founder and CEO of Suite42.
Suite42 is based in Bengaluru and was founded in 2022 by Ratan, Ramakrishna Cheruku, Chethan S and Shriram S. Ratan and Cheruku are IIT graduates who worked with Udaan and Microsoft respectively. Chethan is an NIT graduate who previously worked with Udaan and Hyundai Motors. IIM Lucknow alumnus Shriram has also worked with Udaan.
“The sector is very disorganized with deep inefficiencies. Less than 5% of India’s agricultural production is processed, preventing the realization of benefits through value chains. We are thrilled to see Suite42 revitalizing the food processing space in India,” said Jinesh Shah, Managing Partner of Omnivore.
“Suite42 is building a platform to digitize the back-end of a food brand, from sourcing to packaging. The team aims for a massive TAM and manages the entire supply chain for the brand. We are thrilled to partner with the team in their efforts to make food processing more efficient,” said Vinit Bhansali, Senior Vice President at Orios Venture Partners.