Kopi Kenangan becomes unicorn with USD 96 million from first close of Series C

Kopi Kenangan, Indonesia’s leading grab-and-go coffee chain, achieved a valuation of USD 1 billion in the first closing of a Series C investment, in which it raised USD 96 million. Tybourne Capital Management led the oversubscribed funding round. Horizons Ventures, Kunlun, B Capital, and new investor Falcon Edge Capital participated in the investment.

Kopi Kenangan targets a gap in the coffee market—the lack of an option between street vendor coffee and options such as Starbucks. Kopi Kenangan emphasizes accessibility and affordability. The size of Kopi Kenangan stores are 10–20% that of traditional coffee shops, and its beverages’ prices are half that of Starbucks.

The chain employs more than 3,000 people. It has more than 600 stores in 45 cities. Its competitor Kopi Janji Jiwa runs around 800 stores, while Kedai Kopi Kulo has more than 250 outlets across Indonesia.

Operating under a grab-and-go business model, Kopi Kenangan has established its presence on online delivery platforms such as GoFood and GrabFood, which provided a steady flow of business throughout the pandemic. It also boasts its own mobile application, which is the top-rated and most downloaded coffee app in Indonesia.

Kopi Kenangan served 40 million cups of coffee in the last 12 months, and expects to serve 5.5 million cups per month in Q1 2022. To date, it has raised USD 240 million from reputable investors such as Sequoia Capital India, Verlinvest, Sofina, and more.

Its foray into the food industry includes bread brand Cerita Roti, “chicken on the go” brand Chigo, and soft cookies brand Kenangan Manis. These ventures were met with positive domestic reception, and Kopi Kenangan’s year-on-year sales more than doubled with a positive outlook on its future profitability.

Edward Tirtanata, co-founder and CEO of Kopi Kenangan, expressed his vision for the coffee chain to be the “most-loved consumer brand in Southeast Asia.” Kopi Kenangan will “remain committed to rapidly expanding our footprint to thousands of stores across Southeast Asia and broadening our offerings.”

The rapid growth of the home-grown coffee brand and its dedication to innovation and further development bears a promising outlook for the future of Kopi Kenangan.