Indian specialty coffee QSR Third Wave Coffee raises Rs 408 crore led by WestBridge Capital to scale operations; plans to grow from 240 to 320 cafes

Indian specialty coffee chain Third Wave Coffee has successfully raised ₹408 crore ($43 million) in a funding round led by WestBridge Capital. This capital will facilitate the company's ambitious expansion plans, which include increasing its cafe count from 240 to 320 by the end of the current financial year.¹⁵⁶

The funding round, which included both primary and secondary capital, also saw participation from existing investor Creaegis. The fresh capital will be utilized to enhance store density in high-potential cities and to grow new categories, such as the recently launched Third Rush Desserts business.²⁷

CEO Rajat Luthra emphasized the company's commitment to sustainable scaling, stating, “Our focus remains on scaling the business sustainably, with strong unit economics, healthy store payback economics and operational discipline.” The startup aims to add approximately 100 cafes each year in the long term.

In the past year, Third Wave has expanded into cities like Ahmedabad, Mangaluru, and Agra, while also increasing its presence in major metropolitan areas such as Delhi-NCR, Hyderabad, Chennai, Mumbai, and Pune. The company made its debut in eastern India in June with three cafes in Kolkata and is eyeing further expansion into Guwahati, Ranchi, Patna, and Bhubaneswar by September.⁸

Founded by Sushant Goel, Ayush Bathwal, and Anirudh Sharma, Third Wave Coffee not only operates cafes but also has a retail segment that sells coffee beans and other at-home coffee products.