The 12-strong group, which was founded in Manchester in 2010, will use the investment from its existing debt funders Santander to revamp its estate as well as open new locations.
After recent launches in Oxford and at MediaCityUK in Manchester, The Alchemist is lining up sites in Nottingham, Bristol and Cardiff for the year ahead.
It comes 18 months after the former Living Ventures business was taken over by private equity firm Palatine, which also bought out Italian chain Gusto in 2014.
The Alchemist's planned growth comes as other restaurant groups appear to be reigning in their expansion. Byron is considering a restructure of the business that puts up to 20 restaurants at risk of closure, while Strada closed 11 sites over the festive period blaming an 'increasingly competitive market'.
“We’re thrilled to have received further funding from Santander – particularly in the current climate,” says Victoria Stewart, finance director at The Alchemist.
“While the sector certainly remains tough and competitive, we’re confident in our offering, our people and our vision.”
The Alchemist’s all-day menu ranges from American waffles to ramen, fajitas and katsu chicken.
Legal support to The Alchemist was provided by the Manchester office of Pinsent Masons, while Addleshaw Goddard acted for Santander.