The fast-growing QSR brand is set to double its retail footprint, grow FMCG and HORECA segments, and build towards a potential IPO by 2027.
Debt Raise to Accelerate Growth and Reduce Liabilities
Wow! Momo Foods, the Kolkata-based quick service restaurant (QSR) chain, has raised ₹85 crore (approximately $10 million) in venture debt from Stride Ventures, one of India’s most active venture debt funds. The newly acquired capital will be strategically used for refinancing existing debts and fueling the brand’s next phase of growth across multiple verticals, including retail QSR, fast-moving consumer goods (FMCG), and HORECA (hotel, restaurant, and catering).
This funding follows the company’s ₹480 crore Series D round closed in April 2024, which included ₹270 crore in primary funding and ₹210 crore via secondary share sales. The round was led by Khazanah Nasional Berhad, Malaysia’s sovereign wealth fund, and supported by Tiger Global, Z3Partners, and Anicut Capital.
Brand Overview and Rapid Expansion
Founded in 2008 by Sagar Daryani and Binod Homagai, Wow! Momo started with a single kiosk in Kolkata and has since evolved into one of India’s most recognized QSR chains. Its brand portfolio includes:
- Wow! Momo – flagship momo-centric fast food
- Wow! China – Indo-Chinese QSR
- Wow! Chicken – fried chicken and fusion snacks
- Wow! Kulfi – traditional Indian desserts
As of June 2025, the company operates more than 700 self-owned outlets across over 70 Indian cities. The founders have consistently chosen to avoid a franchise model, instead maintaining tight operational control to ensure brand and service consistency across locations.
The company has set an ambitious target of expanding to 1,500 stores across 100+ cities within the next three years.
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Financial Performance: Resilient Growth Despite Losses
According to data from TheKredible, Wow! Momo’s operating revenue rose to ₹470 crore in FY24, marking a 14% year-on-year growth from ₹413 crore in FY23. Despite this, the company incurred a net loss of ₹114 crore, attributed to increased spending on store expansion, marketing, supply chain strengthening, and FMCG rollout.
However, company executives remain optimistic. For FY25, Wow! Momo is projecting revenue to exceed ₹650 crore, fueled by new store launches and higher FMCG penetration.
FMCG and HORECA Divisions Show Promise
One of Wow! Momo’s biggest strategic bets is its growing FMCG business, which includes ready-to-eat frozen momos and kulfis. These products are already available via quick commerce platforms like Blinkit, Zepto, and Swiggy Instamart, as well as select modern trade retail outlets.
According to founder Sagar Daryani, the FMCG vertical currently clocks around ₹5 crore in monthly revenue and is expected to scale to ₹100 crore in annual sales within a year.
Additionally, the company is investing in its HORECA division, supplying bulk frozen products to hotels, restaurants, and caterers, a move that diversifies income streams and maximizes kitchen output.
Leadership and Vision
“This support from Stride Ventures comes at a vital time in our journey,” said Sagar Daryani, Co-founder & CEO. “It not only helps optimize our capital structure but also allows us to focus on strategic innovation, scale, and deeper customer engagement. Our vision is to serve India’s favorite food brands across multiple formats, retail, frozen, and institutional.”
Investor Updates and IPO Outlook
Wow! Momo has drawn sustained interest from global and domestic investors. Apart from Tiger Global and Khazanah, early investor Lighthouse Funds, which entered in 2017 with ₹60 crore, is reportedly preparing to exit at a valuation of ₹2,400 crore, potentially bagging over ₹300 crore.
Currently, the founders retain over 33% stake in the company. Market insiders suggest that an initial public offering (IPO) is likely by 2027, with early groundwork being laid for governance, compliance, and internal restructuring.
Market Position and Competitive Edge
India’s Quick Service Restaurant (QSR) sector is expected to grow at a compound annual growth rate (CAGR) of 23% during the period 2023 – 2028 because of urbanization, increasing disposable incomes, and changing customer preferences. Wow! Momo, by leveraging modern QSR practices while remaining authentic to Indian tastes, has developed a unique position. Similar concepts like Domino’s or KFC are more reliant on franchising. Wow! Momo is an easily manageable concept that has maintained complete ownership of its operations allowing it to expedite developments in store formats, hygiene standards, and build an agile supply chain.
Conclusion
Congratulations! This ₹85 crore debt raise from Stride Ventures is a validation of Momo’s strong foothold within India’s rapidly changing food service landscape. Momo has positioned itself to be a notable operator in QSR and in India’s consumer food ecosystem as a whole, with a clear vision, expanding multi-brand portfolio, and burgeoning FMCG arm.
With its growth and fiscal discipline balanced along with growth and an upcoming IPO, Wow! Momo is on its way to becoming India’s next food unicorn.
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