Pune-based agritech start-up, Two Brothers Organic Farms, has completed its Series-A funding round, securing Rs 58.25 crore. The round was led by Rainmatter, the investment arm of Zerodha, which contributed Rs 50 crore. Additionally, Raju Chekuri, the founder of NetEnrich, participated in the round.
This latest funding follows the start-up's pre-Series A round in April 2023, where it raised Rs 14.5 crore from notable investors, including Bollywood actor Akshay Kumar and cricketer Virender Sehwag.
Talking to Outlook Business, co-founder Ajinkya Hange stated that he and his brother Satyajit Hange started the company back in 2012 with no brand and today the start-up is exporting to around 60 countries but the prime 80 per cent of the business is domestic.
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“We have a lot of orders coming in from the US, so on the front end, a portion of what we've raised is going to go into creating demand or into serving demand in the US and in the domestic in India. At the back end, part of what we've raised will go into building supply chain and manufacturing. In everything we do, sustainability is the key, as we are producing our crops organically, our farms are going all solar powered, and we’re even working on going carbon neutral,” he added.
He added that the funds will also be used to hire skilled talent to take the start-up to newer heights. The company’s headcount stands at around 300 people working across all segments. Around 4,800 farmers are also associated with the company, covering an area of 5,000 acres farmland across 17 states in India.
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On the business side, the company is now aiming for a revenue of RS 100 crore in FY25 and eyeing a revenue of Rs 500 crore in the next four to five years. The start-up sells around 100 organic products and caters to three lakh domestic and international customers majorly through its online channels.
Talking about offline expansion, Ajinkya stated that the company’s focus is on building the business right now and they don’t want to indulge in offline expansion until specific milestones. He further stated that even though the start-up is listed on ecommerce websites, 70 per cent of its business comes from its own website.
