Funding · Commerce & Consumer Brands
Third Wave Coffee raises Rs 408 crore funding
By Startup Enthusiast ·
- Date
- Company
- Third Wave Coffee
- What it does
- Specialty coffee cafe chain
- Kind
- Funding
- Amount
- Rs 408 crore
- Stage
- Late stage
- Based in
- Bengaluru
- Founded
- 2017
What they do
Third Wave Coffee operates a chain of over 240 cafes across India, selling coffee beans, merchandise, and food items
What happened
The company secured Rs 408 crore in a round led by existing investor WestBridge Capital, featuring both primary and secondary capital
Why it matters
The funds will support expansion into new cities and the growth of the company's new Third Rush Desserts category
The details
- Third Wave Coffee raised Rs 408 crore ($43 million) in a funding round led by WestBridge Capital.
- The round consists of a mix of primary capital (new money for the company) and secondary capital (existing shareholders selling their stakes).
- The company plans to use the capital to expand its presence in existing markets and enter nine new cities.
- The firm is scaling its Third Rush Desserts category, aiming to reach 50 dedicated stores by the end of 2026.
- Third Wave Coffee currently operates more than 240 cafes and targets 320 stores by the end of the current financial year.
- The company recently entered eastern India with three new cafes in Kolkata.
The bigger picture
- The Indian coffee market is projected to grow significantly, reaching up to $3.2 billion by 2026.
- The company is competing against major players like Tata Starbucks and Blue Tokai in the expanding food services sector.
- The business underwent a leadership change in 2024, appointing Rajat Luthra as CEO while co-founder Sushant Goel moved to the board.
About the business
- The company operates under the legal entity Heisetasse Beverages Pvt. Ltd.
- It sells a variety of products including coffee beans, cold brew bags, and cafe food.
- The company maintains an e-commerce presence selling merchandise and coffee products directly to consumers.
- Operating revenue reached Rs 268.6 crore in FY25, with an estimated growth to Rs 337 crore in FY26.
- The firm employs a strategy of adding approximately 80 to 100 cafes annually.
What happens next
- Open 80 to 100 new cafes annually.
- Enter nine new cities including Lucknow and Amritsar.
- Expand the Third Rush Desserts brand to 50 locations.
The deal
- Type
- funding
Investors
- WestBridge Capital (lead) — Existing investor holding approximately 47% post-round.
- Creaegis (participated) — Existing investor holding close to 15% post-round.
Founders
- Sushant Goel, Co-founder
- Ayush Bathwal, Co-founder
- Anirudh Sharma, Co-founder
About Third Wave Coffee
- Product
- Specialty coffee beverages and desserts through cafe outlets
- Customers
- Coffee enthusiasts and dessert consumers in urban and tier II cities
- How it makes money
- Retail cafe locations with direct consumer sales
- What sets it apart
- Established specialty coffee expertise and national scale with 240+ locations
Other articles talking about it
More on Third Wave Coffee
- Third Wave Coffee opens first Kochi cafés30 September 2026 · Launch
- Third Wave Coffee marks 250th cafe25 September 2026 · News
- Third Wave Coffee names Sanjay Dutta CTO8 September 2026 · People
- Third Wave Coffee enters East India12 June 2026 · Launch
- Third Wave Coffee launches Third Rush desserts23 April 2026 · Launch
- Third Wave Coffee opens first Agra cafe31 March 2026 · Launch
- Rajat Luthra replaces Sushant Goel as CEO19 March 2024 · People