L Catterton invests in Nandhana Foods to fund South India expansion

L Catterton will make an undisclosed investment in Nandhana Foods, operator of Nandhana Palace and RNR. The 25-outlet restaurant group plans to deepen its presence in Bengaluru and Chennai while entering additional markets.

— Source publishedWed, 16 Sept, 2026, 11:29 IST·First seen Wed, 16 Sept, 2026, 11:35 IST·Source YourStory · Capital

What happened

L Catterton will invest an undisclosed amount in South Indian restaurant operator Nandhana Foods to support expansion. The group operates Nandhana Palace and

Key facts

  • 25 branches
  • Founded in 2004
  • L Catterton manages around $40 billion in equity capital
  • L Catterton has invested in around 30 restaurant businesses
  • L Catterton has made over 300 consumer-brand investments

Why this matters

Nandhana Foods becomes a more credible consolidation and partnership candidate as private-equity funding supports multi-city expansion of its Nandhana Palace and RNR brands.

What to watch

  • Announcement of the investment size, ownership stake and governance rights.
  • Store-opening targets, format mix and stated target cities for the next 12-24 months.
  • Evidence of new central-kitchen, procurement or technology investments.
  • Same-store sales, delivery mix, outlet-level margins and customer-review consistency after new openings.
  • Senior executive hiring and any appointment of an institutional board or operating partner.
  • Competitor reactions from regional South Indian chains, cloud-kitchen brands and national casual-dining operators.
  • Any follow-on fundraising, franchise strategy or acquisition activity.
  • Open additional Bengaluru and Chennai locations in dense residential, office and mall catchments.
  • Hire senior operations, real-estate, finance and supply-chain leaders to transition from a founder-led regional group to a scalable platform.
  • Centralize procurement and commissary or vendor systems to protect margins and food consistency as outlet count rises.
  • Invest in delivery, loyalty, CRM and aggregator optimization to lift repeat ordering and utilization beyond dine-in traffic.
  • Evaluate entry into Hyderabad, Mysuru, Coimbatore, Pune or other markets with sizable South Indian dining demand.
  • Use institutional backing to improve lease negotiations and potentially pursue bolt-on acquisitions of complementary regional restaurant concepts.

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