Healthy dessert brand Modge featured on Shark Tank India, where founder Megha Sarayan pitched her innovative “mood-based” confectionery solutions designed to offer guilt-free indulgence.
During the pitch, the founder highlighted that Modge focuses on high-quality, 100% eggless products that cater to specific dietary needs, including sugar-free, gluten-free, and vegan options.
Entering the Tank, Megha sought ₹1 crore for 4% equity, valuing the company at ₹25 crores.
Modge has demonstrated significant growth since Megha joined full-time in 2021. The brand’s sales have scaled from ₹18 lakhs in FY 20-21 to ₹2.5 crores in FY 24-25, with a projected target of ₹5 crores for FY 25-26. Currently, the business maintains a 2x year-on-year growth rate and recorded an EBITDA of ₹9 lakhs for FY 24-25. The sales split is heavily weighted toward digital, with 85% of revenue coming from online channels and 15% from their café.
The brand currently operates 5 outlets, consisting of four cloud kitchens and one physical café named “On D Go by Modge” located in Kolkata and Hyderabad. The unit economics reveal a 25% contribution margin, with COGS at 35%, marketing at 10%, and fees/taxes accounting for 30%. To date, Modge has served over 6 lakh lifetime customers.
After discussions regarding the brand’s scalability and standardized quality, Anupam Mittal closed the deal by investing ₹1 crore for 9% equity, valuing Modge at ₹11.11 crores.
The founder shared that the capital raised will be used to expand their offline presence through a hybrid model and to open 3 new cafes in Kolkata and Hyderabad, further transitioning the brand from a primary cloud kitchen model to a robust omnichannel presence.
