Curefoods IPO delayed: Rs 800 crore plan on hold in 2026

What changed after Sebi approval

Cloud kitchen platform Curefoods has postponed its planned initial public offering (IPO) even after securing approval from the Securities and Exchange Board of India (Sebi). The company had planned to raise Rs 800 crore in primary capital, alongside an offer for sale by existing shareholders. The deferral comes at a time when market volatility has made price discovery difficult, particularly for new-age companies that are still working through profitability challenges.

Curefoods’ decision mirrors a broader caution among issuers as geopolitical tensions and unstable global capital markets have weighed on risk appetite. The company indicated it may revisit the listing next year if conditions stabilise. For investors tracking consumer internet and food services listings, Curefoods’ pause is another data point on how quickly IPO timelines can shift when valuations face resistance.

Mutual fund pushback on the Rs 4,000 crore valuation

A key trigger for the delay was investor discomfort with Curefoods’ valuation expectations. The company was valued at about Rs 4,000 crore in a pre-IPO placement in September 2025, and mutual funds were reported to have resisted that level. With public market investors seeking tighter pricing in volatile conditions, issuers are finding it harder to bridge the gap between private round valuations and public market expectations.

Curefoods also faces the broader headwind impacting loss-making firms, where investors tend to demand clearer visibility on profitability and cash flows. The company’s reliance on delivery apps was cited as part of the challenge, underscoring a common concern in the cloud kitchen model where platform economics and customer acquisition costs can materially influence margins.

Company statement on timing the listing

Curefoods framed the move as a timing decision rather than a change in intent.

“We are closely monitoring the macroeconomic environment and capital market conditions to identify the most opportune time for our listing,” a Curefoods spokesperson told Mint in an emailed statement.

The company has said it will keep an eye on market conditions and look to relist when volatility reduces and investor participation improves. The pause also gives Curefoods time to continue building its portfolio and operating footprint before returning to public markets.

What the IPO was meant to fund

As per the information reported around its IPO plan, Curefoods intended to use proceeds to expand its footprint and strengthen operations. The planned uses included expanding cloud kitchens, repaying debt, investing in subsidiaries, and supporting brand and restaurant expansion. It also planned to invest in subsidiaries such as Fan Hospitality.

In addition to the fresh issue, the IPO structure included an offer for sale (OFS) of 48.5 million shares. The selling shareholders named in reports included Accel, Chiratae Ventures, Nordstar Partners, Iron Pillar, Alteria Capital, and Curefit Healthcare. The presence of an OFS is typical for venture-backed companies approaching the public markets, but pricing expectations remain central to whether demand comes through.

Strategy shift: premium tastes, Gen Z focus, new categories

CEO Ankit Nagori said Curefoods is pivoting toward premium tastes that are popular with Gen Z consumers and exploring new food categories. The intent is to build a stronger and more diverse portfolio of brands, which matters in a segment where consumer preferences can shift quickly and where brand differentiation is often tested on aggregator platforms.

Curefoods has also outlined how it sees its long-term channel mix evolving. It expects a business mix of about 60% online and 40% offline over the long run, with physical stores contributing through higher impulse purchases. The offline push can be a meaningful operational shift for a cloud kitchen-led platform, but it also requires disciplined site selection and execution.

Operating scale and recent financial snapshot

Curefoods operates over 500 cloud kitchens across India, according to the information shared alongside the Sebi approval coverage. The company reported revenue from operations of Rs 745.8 crore for the financial year ended March 2025, up from Rs 585.1 crore a year earlier.

Even as it expands, Curefoods continues to face profitability issues, as noted in the report. That backdrop helps explain why valuation sensitivity is higher in the current market, and why investors may be more selective about cash burn, unit economics, and dependence on delivery aggregators.

Pre-IPO placement: Rs 160 crore at Rs 124 a share

In September 2025, Curefoods raised Rs 160 crore in a pre-IPO placement from 3State Ventures, the investment arm of Flipkart co-founder Binny Bansal. The transaction was done at Rs 124 per share, valuing the company at about Rs 4,000 crore (about $150 million). Reports also noted that 3State Ventures was Curefoods’ biggest backer and held over 17% of the company prior to the transaction.

The placement involved the allotment of about 1.3 crore equity shares and, in line with Sebi norms, was to be adjusted against the fresh issue size in the upcoming IPO. The valuation step-up was also contrasted with an earlier $15 million fundraise from 3State Ventures that valued Curefoods at $175 million, described as around Rs 3,100-3,200 crore.

IPO market pause: volatility linked to West Asia war

The wider context is a choppy market environment. Reports linked the recent volatility to the West Asia war, which has pushed issuers to reassess timelines. While India’s IPO market entered 2026 with strong momentum, geopolitical tensions have temporarily slowed the pace of launches.

Data cited in the coverage suggested that more than 160 companies have been approved to raise Rs 1.6 lakh crore, indicating the pipeline remains sizeable even if near-term execution has slowed. The discussion in the market has focused on timing and stability rather than a structural shutdown.

How other issuers are responding

Curefoods is not alone. PhonePe announced last month that it will temporarily halt its IPO plans due to geopolitical tensions and instability in global capital markets. The Curefoods report also noted similar deferrals by PhonePe and Flipkart.

Other companies including Turtlemint, Indo-Mim, Inframarket, Symbiotech Pharmalabs, Duroflex, and KKR-backed Leap India were described as taking a more calibrated approach despite having secured Sebi approval, according to Prime Database data cited in the report. Some of these issuers have reportedly paused or deferred preparations amid valuation concerns.

Raghav Gupta, joint CEO of IIFL Capital, described the slowdown as a recalibration rather than a shift in underlying appetite, pointing to volatility, macro uncertainty, and uneven liquidity conditions as reasons issuers may wait for better price discovery.

Alternatives to listing: rights issues and private deals

The coverage also highlighted how companies sometimes pursue dual-track approaches in volatile phases, keeping private fundraising options open even while exploring a public listing. Avanse Financial withdrew its IPO plans last year and instead raised Rs 1,374 crore via a rights issue from existing shareholders.

Similarly, Advent-owned Manjushree Technopack filed for a public listing but later called off its IPO, with Advent selling its entire stake to private equity firm PAG in a private deal worth nearly $1 billion in 2024. These examples underline that when IPO windows narrow, capital raising and exits can shift to private routes.

Key numbers and facts at a glance

What to watch next

Curefoods has signalled that it wants to return to the market next year if conditions improve. In the interim, investors will watch whether the company can execute on its shift toward premium categories, widen its brand portfolio, and build an offline presence to complement online delivery.

The IPO calendar will also depend on whether volatility linked to geopolitical developments eases, and whether valuation expectations between issuers and institutional investors converge. For Curefoods, the next formal step is likely a reactivation of listing plans when the company sees a clearer window for stable pricing and broader participation.