Piramal, Bain-backed India RF invest ₹550 cr for majority stake in Impresario Entertainment

Following this transaction, IndiaRF has become the majority shareholder of Impresario and L Catterton Asia has exited its five-year old investment in the firm.

“The new capital will help fuel further expansion of the impresario business, from which investment was also received Ale Caterton in 2017 and since then has demonstrated resilient growth over the years despite facing challenges posed by the COVID-19 pandemic,” IndiaRF said in a statement.

Lodha Capital Markets was the exclusive financial advisor to Took Catterton and the impresario on the transaction.

For the past few months, the Asian arm of the world’s largest consumer-focused private equity firm L Catterton, backed by Louis Vuitton owner LVMH, has been in talks to de-regulate the pandemic-hit impresario.

A person aware of the development said that with the massive expansion following the pandemic, the firm is facing a severe cash crunch and is in talks to raise funds.

“While the journey through the pandemic was particularly difficult for the restaurant sector, we were able to not only sustain but also strengthen our business. As we now begin a new chapter with IndiaRF, we look forward to a fruitful collaboration, which we believe will propel Impresario into an exciting next phase of growth. We look forward to building on the momentum we have generated over the years since we partnered Took Catterton, who shared their consumer insights and industry expertise with us to help us grow,” said Riaz Amlani, Founder and Managing Director of Impresario.

Founded in 2001 by restaurateur Riyaz Amlani, the impresario owns an umbrella of restaurant brands including Social, Mocha, Smoke House Deli, Salt Water Cafe, Slinky and Bardot & Souffle in urban India spread over 60 locations across 17 cities in the country and manages it.

So far, it has invested in Panacea Biotech, India Steel Corporation, Thrissur Expressway Limited, Setco Automotive Limited, Primacy Industries Limited and others.

IndiaRF, along with its co-investors, committed capital from its $629 million first fund to both debt and equity control investments across sectors in the Indian market. It seeks to invest in businesses that have strong growth potential fundamentally aligned to India’s consumption and infrastructure needs.

Shantanu Nalwadi, Managing Director, IndiaRF said, “IndiaRF is delighted to partner with Impresario, who has built a profitable business fueled by strong brands, a professional team and a culture that allows the company to remain agile and creative. We We plan to work with the management team and scale up efforts by leveraging our deep operational engagement across multiple sectors.We are confident that the next decade will see significant opportunities for impresario as non-metro cities are the aspirational stage of India and become a major economic centre.”

Social, the largest impresario brand, has 35 outlets and is an extremely popular place for socializing and networking. It aims to offer innovative Food & Beverage (F&B) at attractive price points along with an inviting feel and ambiance, which doubles as a co-working space by day. The firm’s other popular brands are Smoke House Deli, Mocha, Slink & Bardot, and Salt Water Café providing contemporary formal and casual settings for friends and family.

Food company BOSS also owns and operates dark kitchen brands such as Burger, Lucknowi and Hungali. The company’s core strength lies in understanding the changing food habits of young India and providing quality experiences tailored to delight its customers.

“In the future, Impresario plans to double its number of outlets as India’s F&B market becomes more organized with growth expected in the high teens in the coming years,” the statement said.

It also plans to target India’s growing middle class as well as Millennials and Gen Z consumers who are looking for a refreshing and engaging experience. The company will expand its current geographic footprint from 17 to over 30 cities as part of its expansion plan.