Third Wave Coffee raises US$43M to expand Café Network across India
The Bengaluru-based specialty coffee chain will use the fresh funding to open new cafés and expand its recently launched Third Rush Desserts business.
INDIA – Specialty café chain Third Wave Coffee has raised US$43 million in funding led by existing investor Westbridge Capital as it prepares to expand its presence across India.
The Bengaluru-based coffee chain currently operates more than 240 cafés nationwide and plans to add 80 locations over the next year. The funding will support expansion of its coffee business and its newly launched dessert segment, Third Rush Desserts.
Third Rush Desserts was launched in April 2026 as a standalone dessert experience within existing Third Wave Coffee cafés. The concept is designed to capture consumer demand beyond traditional coffee-drinking hours, particularly after 7pm.
“Third Wave Coffee has reached an important point in its journey. We currently operate more than 240 cafés across India and are aiming to reach 320 cafés by fiscal end. By next month, we will be entering eight new geographies,” said Third Wave CEO Rajat Luthra.
“Over the years, we have built a strong consumer proposition, and our focus remains on scaling the business sustainably, with strong unit economics, healthy store payback economics, operational discipline and a consistent customer experience,” Luthra said.
He added: “This fundraise will help us accelerate our expansion across the country while strengthening new categories, with desserts being an important part of the journey. Our vision to add 100 new cafés every year reflects the significant opportunity we see ahead.”
The latest funding round brings Third Wave Coffee’s total funding to US$105 million.
Sandeep Singhal, co-founder and managing partner of WestBridge Capital, said the company was operating in a growing consumer category.
“Coffee is becoming an increasingly important consumer category in India, and Third Wave Coffee has built a strong position through its relentless focus on quality and execution,” Singhal said.
The company was founded in 2017 by Sushant Goel, Ayush Bathwal and Anirudh Sharma. It has expanded its café network across multiple Indian markets as specialty coffee consumption grows.
Third Wave Coffee reported operating revenue of Rs285 crore in fiscal 2024-25, while its net loss narrowed to Rs94 crore.
The company said the latest capital injection would support further expansion of its established café network while strengthening newer categories, including desserts.
Third Wave’s expansion target includes reaching 320 cafés by the end of the fiscal year, while management has outlined a longer-term ambition to add 100 new cafés annually.
Sign up HERE to receive our email newsletters with the latest news and insights from Africa and around the world, and follow us on our WhatsApp channel for updates.
