Hector Beverages, a start-up backed by Sequoia Capital, is reportedly planning to expand capacity at its Mysore plant with an investment of about $10m.

The move follows the company’s plans to launch its new milk-based beverages Thandai, Badam Milk and Chhaas. The new beverages will be introduced under its flagship brand Paper Boat by the end of first quarter of 2016.

Hector Beverages, with products ranging from Chilled Rasam, Tulsi Tea, Jaljeera and Aamras, intends to expand its reach towards milk-based indigenous drinks, livemint.com has reported.

Currently, the Mysore plant produces 220 bottles of beverage per minute.

The expansion will enable the plant to add two lines, of which the first line will have a capacity of 80 bottles per minute.

The second line will have a capacity of 220 bottles per minute and will be launched next year.

The expansion of the Mysore plan is expected to increase the total capacity to over double the current production by October 2016.

In addition, the increased capacity is expected to help meet rising demand for Aamras, Jaljeera and six other drinks already being produced by the company.

Hector Beverages CEO Neeraj Kakkar was quoted by the news agency as saying: "We’ve not been able to meet demand in the market as we’ve had capacity constraints. We want to gain depth in distribution at this point."

In July this year, the company’s existing investor Sequoia Capital had helped raise $30m in fresh funding.