Shot in the arm for Health Sutra

Ankur Capital, Hyderabad Angels to invest in Fountainhead Foods

May 25, 2017 12:57 am | Updated 12:58 am IST - HYDERABAD

Fountainhead Foods, the company behind Health Sutra brand of millet-based products, has raised investment from early stage venture capital fund Ankur Capital and Hyderabad Angels.

The money will be used to expand the distribution network, build the brand and introduce more products, a release said without giving details of the investment.

Founder and CEO of Fountainhead Foods Sai Krishna Popuri said Health Sutra products are available in over 600 stores in Telangana and Andhra Pradesh. The company, he added, will set up a new unit in Hyderabad with a capacity to process 150 tonnes of millets a month.

The existing facility, also in the city, has a capacity of 15-18 tonne a month. A bootstrapped company, an investment of Rs.70 lakh has gone into the venture.

Apart from consolidating its position in the two States, a foray into Karnataka and Maharashtra within 6-8 months and growing its presence in modern retail are other plans of the company. Noting that Health Sutra is about millet grains such as Jowar and focused on ready-to-cook breakfast foods, he said whole wheat biscuits were launched recently and healthy snacks were on the cards.

Saral Talwar (Executive Director of Talwar Group) from Hyderabad Angels will join the Board of Fountainhead Foods, while P.S.Sreekanth, Investment Director of HA will join the board as an observer. The release said Ankur Capital invests up to Rs.5 crore in technologies and product innovations in the areas of agriculture, healthcare and education. Hyderabad Angels invests upto $ 1 million as part of pre-series A round funding.

On further fund raising plans, Mr.Popuri said it was a bootstrapped company and the investment made was about Rs.70 lakh. The plan is raise $ 4 million in the next round within 18 months.

Top News Today

Sign in to unlock member-only benefits!
  • Access 10 free stories every month
  • Save stories to read later
  • Access to comment on every story
  • Sign-up/manage your newsletter subscriptions with a single click
  • Get notified by email for early access to discounts & offers on our products
Sign in


Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.

We have migrated to a new commenting platform. If you are already a registered user of The Hindu and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.