It was a cash and equity deal, the company said, without disclosing financial details.
The acquisition will strengthen its omnichannel presence and attract new users, boosting Licious’ online business. With the 23 My Chicken and More stores, Licious will also increase its physical retail presence to 26 locations.
In May ET had reported about Licious plans to open five brick-and-mortar stores in Bengaluru in June and increase the number of stores to 35-40 in two-three cities by the end of FY25. It currently serves 4 million households.
“The acquisition will allow us to rapidly expand our offline presence in South India, while continuing to deliver the quality and transparency that define the Licious experience,” co-founders Vivek Gupta and Abhay Hanjura said in a statement.
This coincides with many new-age online brands expanding offline to acquire new users, as venture funds also back consumer brands with retail presence across the food and beverage sector.
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Temasek-backed Licious is now doubling down on building an omnichannel network and plans to open 500 offline stores in key markets over the next few years.ET had earlier reported That the meat brand is also testing 15-minute deliveries of ready-to-eat foods at certain locations in Gurgaon, although its standard delivery time remains 30 minutes. Around 85% of the brand’s sales are made through its own website, while the rest comes from quick commerce and online grocery platforms.
The company is also looking to become profitable in terms of earnings before interest, taxes, depreciation and amortization (Ebitda) by the end of FY25. In FY23, Licious reported a 9% year-on-year increase in its revenue, reaching 748 crore, while its total loss narrowed by about 38% to Rs 529 crore.
“My Chicken and More has achieved impressive store revenue, profitability and supply chain efficiency, making it a well-run operation. “We see great value in their operations, their customer-centric approach and their strong brand loyalty, which align perfectly with Licious’ vision,” they added.
Founded in 2007, My Chicken and More processes between 1.6 million and 1.8 million orders a year. From 2021 to 2023, the brand increased its number of outlets from 10 to 23 and generated revenue of Rs 110 crore in 2023.
“Partnering with Licious is not just about growth for us; it is about aligning ourselves with a shared vision of providing consumers with high quality and hygienic meat,” said S Mahesha, Founder, My Chicken and More.
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