Homegrown beer startup Proost raises Rs 30 crore in funding

Homegrown beer startup Proost has raised Rs 30 crore in an ongoing Series-A funding round led by Chimes Group and Srinivasan Namala.

The round also saw participation from Hyderabad Angels, The Chennai Angels and other marquee HNI’s.

Aiming to disrupt the Indian beer market

Founded in 2017 by Tarun Bhargava and Vijay P. Sharma, Proost, operating under the umbrella of Grano69 Beverages, aims to disrupt the Indian beer market.

The brand claims that its products are made in India, with 99% of all raw materials locally sourced.

"We are thrilled to announce this new round of funding, which represents a significant step forward in Proost's journey. With these funds, we will focus on expanding into strengthening our production capacity, expanding into a few new markets while also ensuring that we go deeper into our existing ones on the back of brand building," said Tarun Bhargava, Co-Founder & CEO of Proost.

Purpose of fundraising

Proost will use the raised capital to strengthen its supply side, expand Proost's operations into new markets, and enhance its product portfolio, and brand-building activities.

"This is Tranche-1 of our ongoing Series A round and it's great to see 90% of the round size being mopped by our existing investors. Our commitment to delivering value to our stakeholders remains unwavering, and this investment brings us closer to our goal of capturing a substantial share of the Indian beer market by the end of the decade," Bhargava added.

Proost's market presence

Proost would also use the funds to expand into new regions and to bolster its financial foundation.

The brand intends to enhance its product range by introducing newer variants aligned with evolving consumer demands and industry trends.

It claims to have a strong presence in retail outlets across Delhi, Punjab, Uttar Pradesh, Kerala, Jharkhand and Karnataka. The brand is targeting a 5% market share in the Indian beer industry by the end of the decade, backed by innovation, customer-centric product development, and strategic market expansion.

"Proost's growth trajectory and its strong market presence reflect the team's dedication and understanding of the Indian consumer. We are excited to partner with them again and contribute to their mission of reshaping the beer industry with high-quality, innovative products," said Chimes Group.