Chennai ,March 18

Chai Kings, one of India’s fastest-growing tea retail chains, has raised ₹24 crore ($3 million) in a Series A funding round led by A.V. Thomas and Co. Ltd. (AVT), a major player in the packaged tea industry. The investment is set to drive the company’s expansion, enhance its product range, and optimize its supply chain. Additionally, Chai Kings plans to leverage technology to improve customer engagement and operational efficiency.

With this fresh infusion of capital, Chai Kings is on track to close FY25 with a projected revenue of ₹48 crore and a positive EBITDA, highlighting its strong financial performance. The company aims to double its revenue over the next two years while maintaining profitability, reinforcing its commitment to sustainable and scalable growth.

“This funding will allow us to scale our operations, open new stores, and innovate our offerings, bringing our unique chai experience to a larger audience across India,” said Jahabar Sadique, Co-founder and CEO of Chai Kings.

Balaji Sadagopan, the company’s COO, emphasized Chai Kings’ mission of making high-quality and affordable chai accessible nationwide. “With AVT’s backing, we are confident in accelerating our expansion while maintaining the superior quality and service that our customers love,” he added.

Ajit Thomas, Executive Chairman of AVT, expressed his enthusiasm for the partnership. “Chai Kings has built a strong brand and a loyal customer base. We see immense potential in their growth trajectory and are excited to be part of their journey,” he said.

As part of this funding round, early investor The Chennai Angels (TCA) is making a partial exit with significant returns. Sadique acknowledged their contribution, stating, “We are grateful to The Chennai Angels for their support in our early growth phase. Their belief in our vision has been instrumental in shaping Chai Kings into the brand it is today.”

Founded in 2016, Chai Kings currently operates 57 outlets across Chennai, Hyderabad, and Coimbatore. With fresh capital and a clear growth strategy, the brand is poised to scale its presence and redefine India’s tea retail market.