Convergent Finance, the investment advisors to Infinity Investment Management, announced an investment of Rs 1,070 million (US $14.1 million) in Pune-based Jyoti International Foods (‘Jyoti’). Jyoti International Foods is one of the leading companies providing end-to-end supply chain solutions to the Indian food services industry for a significant minority stake. The investment, to be disbursed over a period, will be used for technology up-gradation and new market development besides as an equity tap to undertake merger and acquisitions (M&A) and business expansions.
End-to-end supply chain solutions
Currently, Jyoti is serving a wide range of customers within the Food Services, HORECA Industry, including quick-service restaurants (QSRs), cloud kitchens, cinemas, and others. The company also offers a variety of supply chain and distribution solutions, ranging from managing end-to-end logistics (from primary transportation to the last-mile delivery), warehousing, procurement planning and various other value-added services. Since inception in 2005, the company has built an impressive track record of operation and esteemed clientele, including Subway, Rebel Foods, Cinepolis, Chili’s, Holiday Inn, and across 150 plus cities in 25 states across the country.
Akhil Puri, managing director of Jyoti, welcomed the investment, saying, “We are really excited and looking forward to this new partnership, which will help us scale up our business, thereby enabling us to become the market leader in providing world-class end-to-end SCM solutions. We intend to draw upon the deep expertise of the Convergent team in M&As.”
Remarked Suresh Talreja, executive chairman of Jyoti, “The Food Service industry has been evolving rapidly over the last couple of decades, with international and domestic brands providing nutritious, hygienic and quality food products consistently to the Indian consumer in both dine-in and delivery modes. We are confident that with the investment and management support from Convergent, we will be well-positioned to enhance our range of services and expand our network to serve larger number of customers.”
Commenting on the investment, Sarvjit Singh Bedi, partner at Convergent, said, “We have been very impressed by Jyoti’s performance under the leadership of Suresh and Akhil, both pioneers in the Supply Chain Management for the food services industry in India. Under their leadership, Jyoti is superbly positioned to consolidate the fragmented food logistics and distribution industry, helping it achieve better quality and delivery of fresh food, consistently to every customer across India.”
Harsha Raghavan, managing partner at Convergent, said, “We are delighted to have this opportunity to work closely with Suresh and Akhil. Given our track record of working with platform companies to help transform them into global leaders, Jyoti will benefit from our network of relationships, strategic insights, and operational expertise.”