Stories
How Jayaram Banan Built the Rs 180-Crore Sagar Ratna Empire
- •Jayaram Banan left his home in Udupi at age 13 after failing an exam, moving to Mumbai with little money and starting his career washing dishes for Rs 18 a month.
- •After gaining crucial experience in canteen and food operations, he moved to Delhi and later launched the first 40-seater 'Sagar' restaurant in Defence Colony in 1986.
- •The restaurant became immensely popular for its authentic South Indian fare, eventually expanding into a massive chain with outlets across Delhi and other regions.
- •Despite financial challenges, private equity involvement, and pandemic setbacks, Banan bought back his stake in 2017 to regain full family control.
- •Sagar Ratna has experienced a steady post-pandemic recovery, boasting an annual revenue of nearly Rs 180 crore and employing over 2,100 people by 2025.
Key Questions Answered
Jayaram Banan opened a 40-seater restaurant named 'Sagar' on December 4, 1986, in Delhi's Defence Colony market using his savings of about Rs 5,000. The menu focused on familiar South Indian dishes like idli, dosa, and sambar, which eventually expanded into the popular Sagar Ratna chain.
Sagar Ratna raised around $20 million from India Equity Partners in a Series B round in 2011. Later, in 2017, founder Jayaram Banan bought back the stake held by India Equity Partners to bring control back to his family.
Following a drop during the Covid-19 pandemic, Sagar Ratna's revenue recovered consistently, rising from around Rs 103.30 crore in FY22 to Rs 179.65 crore in FY25. By April 2025, the company employed more than 2,100 people and posted a profit after tax of Rs 12.26 crore for FY25.
