Bengaluru-based coffee chain Third Wave Coffee is preparing for its next phase of growth after raising ₹408 crore in a fresh funding round led by existing investor WestBridge Capital. The round also saw participation from existing investor Creaegis and other angel investors, giving the coffee brand additional capital to expand its footprint and strengthen its newer business segments.

WestBridge Leads Fresh ₹408 Crore Round

The majority of the newly raised capital came through a primary issuance, providing Third Wave Coffee with fresh funds for expansion.

The latest round reportedly values the company at around ₹2,000 crore, significantly higher than its reported valuation of approximately ₹1,200 crore during its previous funding round in 2023.

With the latest investment, Third Wave Coffee’s total funding has crossed $105 million, underlining continued investor interest in India’s organised coffee and café market.

Nine New Cities on the Expansion Roadmap

Third Wave Coffee plans to use the fresh capital to strengthen its presence in existing markets while entering new high-potential cities.

The company is expected to expand into nine new cities, including Ludhiana, Jalandhar, Amritsar and Lucknow. It also intends to increase its presence across tier-II and tier-III cities, where changing consumer preferences and rising demand for branded café experiences are creating new opportunities.

The expansion comes as India’s café culture continues to grow beyond traditional metropolitan markets.

Growing Beyond Cafés

Founded in 2017 by Sushant Goel, Ayush Bathwal and Anirudh Sharma, Third Wave Coffee has developed its business around cafés as well as packaged coffee products such as coffee beans and cold brew bags.

The company currently operates across several major markets, including Bengaluru, Delhi, Pune, Mumbai and Hyderabad.

The fresh funding will also support the expansion of its Third Rush Desserts segment, signalling the company’s intention to diversify beyond its core coffee business and capture more occasions within the growing out-of-home consumption market.

WestBridge Deepens Its Bet on Third Wave

WestBridge Capital has been an investor in Third Wave Coffee since its Series A round and has continued to back the company through multiple stages of growth.

It led Third Wave’s $21 million Series B round in 2022, while Creaegis led the company’s $35 million Series C round in 2023.

The latest investment demonstrates WestBridge’s continued confidence in the brand as it moves towards a larger national footprint.

Financial Performance and Leadership Changes

Third Wave Coffee reported ₹285 crore in operating revenue in FY25, while its net loss narrowed to approximately ₹94 crore. The company has not yet filed its FY26 financial results.

The business has also undergone leadership changes in recent years. Sushant Goel stepped down as CEO in 2024 and moved to the board, with Rajat Luthra, former CEO of KFC India and Nepal, taking over as CEO.

With fresh capital, new cities in its pipeline and a growing product portfolio, Third Wave Coffee is now looking to turn its funding momentum into sustainable expansion.

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