MUMBAI, May 26 -- Third Wave Coffee, a Bengaluru-based cafe chain, is close to raising $80-100 million in a funding round led by existing backers WestBridge Capital and Creaegis, three people familiar with the matter said.

The round is undergoing documentation and is expected to close in the next couple of weeks, one of the people cited above said.

"It will be a mix of primary and secondary share sale. Existing backers will double down on their investment with Westbridge putting in the larger cheque size," a second person said.

While the transaction is largely an internal round, it is likely to take place at a higher valuation of $400-500 million, driven by improved operating performance over the last two years and a narrowing of losse...