Legit Group, a cloud kitchen brand operator based in Jakarta, has its eyes on the remainder of Indonesia after raising a $13.7 million Series A. The round was led by MDI Ventures, the enterprise capital arm of PT Telcom Indonesia Tbk, the biggest telecom conglomerate in Indonesia. It included participation from Sinar Mas Digital Ventures (SMDV), returning investor East Ventures and Winter Capital.
This funding follows a $3 million seed round raised by Legit Group in 2021, from East Ventures and AC Ventures. Since then, Legit Group says its sales have grown thrice.
Founded in 2021, Legit Group currently operates 4 of its own cloud brands: Pastaria, Sei’Tan, Sek Fan and Ryujin. It covers 30 points in Jabodetabek, the larger Jakarta metropolitan area. Its goal with the brand new funding is to expand into latest areas with large delivery markets, since 80% of its outlets are currently in Jakarta.
Before founding Legit Group, chairman Bran Hendrata spent 15 years within the F&B industry. During that point, he built F&B company Ismaya Group into certainly one of the biggest in Indonesia. Hendrata told TechCrunch he became enthusiastic about cloud kitchens after witnessing the shift toward online food delivery throughout the pandemic. He believed the changes in habits would proceed after the pandemic, as Indonesia’s growing middle class demanded convenience, like having restaurant-quality food delivered to their homes.
Other cloud kitchen startups in Indonesia include Yummy and Hangry. Legit Group is currently working on an operating system that it says will give it a bonus over other cloud brand operators, but Hendrata said the corporate isn’t able to comment on the tech yet because it’s certainly one of the most important projects they’re working on with the brand new funding.
The startup plans to expand further in Jabodetabek and can even enter 2nd tier cities like Surabaya and Malang this yr. It also plans to launch latest brands that may have different peak hours than its existing ones to more efficiently utilize its kitchens.
In an announcement in regards to the investment, MDI Ventures CEO Donald Wihardja said, “Legit Group founder’s experience, Bram who has been successful and profitable within the F&B business world for 15 years, in addition to their ability to develop revolutionary, effective product and marketing strategies, makes MDI Ventures increasingly confident that our support as a serious investor will strengthen their position within the F&B industry and speed up their business growth.