Popo Ventures in Advanced Talks for Potential Stake Sale at Valuation of Approximately Rs 1,350 Crore

Popo Ventures Partial Stake Sale Valued at Rs 1,300-1,350 Crore

The owners of Bengaluru-based Popo Ventures have initiated a partial stake sale, with the company valued at approximately Rs 1,300-1,350 crore ($140-145 million). This move comes after the company's negotiations with cloud kitchens operator Kitchens@ stalled over valuation differences, prompting Popo Ventures to engage with other investors.

Company Overview and Partial Stake Sale

Popo Ventures owns and operates popular city-based eateries such as Pizza Bakery, Paris Panini, and Smash Guys. The company is owned and run by AB Gupta and his brother Nikhil Gupta, who hold 100 percent of the company. The two brothers are now discussing a deal to dilute their ownership by around 40-45 percent, retaining the remaining stake.

The likely investors in the partial stake sale include Invus, Norwest Venture Partners, A91 Partners, Verlinvest, TR Capital, and Temasek, among others. Norwest Venture Partners is known for backing companies such as EverBrands (owner of Subway and more) in India and Swiggy, the second-largest food delivery app in India.

| Investor | Description | | --- | --- | | Invus | Global investment firm | | Norwest Venture Partners | Backed EverBrands (owner of Subway and more) in India and Swiggy | | A91 Partners | Indian venture capital firm | | Verlinvest | Global investment firm focused on consumer and retail sectors | | TR Capital | Asian-focused private equity firm | | Temasek | Singaporean sovereign wealth fund |

The co-founder brothers could net around Rs 550-600 crore in total from the deal, assuming a valuation of Rs 1,300-1,350 crore. The deal is likely to be a secondary share sale, with a small primary capital component also possible.

Performance and Valuation

Popo Ventures has seen significant growth in revenues, with the company ending FY25 with revenues of about Rs 120 crore, which then grew to around Rs 175 crore, registering a growth of 45 percent year-on-year (YoY). The company continues to make profits.

The company's valuation has increased from Rs 800 crore less than a year ago, largely due to increased revenues. Popo Ventures is now commanding a valuation of Rs 1,300-1,350 crore, making it an attractive investment opportunity for investors.

Investor Appetite

The food and beverage (F&B) sector is seeing increasing investor appetite, with several deals taking place in recent times. Playbook Partners acquired around 5 percent stake in quick-service restaurant (QSR) chain Subway for about Rs 130-150 crore in a deal which valued the sandwich maker at around Rs 2,600-2,900 crore.

Similarly, the parent company of Chili's in India is exploring a stake sale at a valuation of Rs 800-1,000 crore as investor interest in the space picks up. Popo Ventures' pizza brand The Pizza Bakery is competing with Jubilant Foodworks Limited (JFL), which runs Domino's and other brands in India. However, new-age brands like The Pizza Bakery are growing to be challengers in the gourmet pizza space.

Market Trends

The way India consumes pizza is evolving, with a growing opportunity on the premium end of the pizzas which is more gourmet, wood fired, and sourdough. Even JFL is cognisant of this trend, with Sameer Khetarpal telling analysts in November 2025 that the company is addressing rising competition from regional outlets by tweaking its playbook to cater to the new-age consumer.