Vintage Coffee and Beverages Limited (VCBL) has announced plans to raise INR 215.76 crore (approx. $25.1 million) through a preferential issue of equity shares and convertible warrants.

The company’s board approved the issue of up to 15 million equity shares and 2.4 million convertible warrants in a meeting held on 4 July.

The capital raise is intended to fund a greenfield freeze-dried coffee facility with an annual production capacity of 5,000 metric tons per annum. The project is part of VCBL’s broader strategy to increase its footprint in the premium coffee segment and expand capacity.

VCBL currently has a spray-dried and agglomerated coffee capacity of 6,500 metric tons per annum, which it plans to scale up to 11,000 metric tons per annum by March 2026. The new freeze-dried plant will add capacity on top of this.

Additionally, the funds will allow the company to grow its customer base across regions such as South-East Asia, Latin America, the Middle East, Europe and West Africa.

Balakrishna Tati, chairman and MD of Vintage Coffee and Beverages Limited, said: "VCBL remains at the forefront to capture the global coffee demand backed by quality, service and product innovation. The proposed preferential issue of shares will bring marquee institutional investors of repute demonstrating confidence in company’s products and growth prospects."

"The proposed preferential issue will support VCBL's growth through FY26-FY28. I am thankful to all investors and stakeholders for supporting us in this journey ahead.”