New Delhi, June 2 -- B2B e-commerce platform Udaan said Monday it has closed its Series G equity funding round with $114 million (Rs 974 crore) in fresh capital.
The round was led by M&G Investments and Lightspeed with participation from other existing and new investors. The company didn't disclose the identity of the new investors.
The company said in a statement it plans to use the fresh capital to strengthen its category and customer footprint, with a focus on the fast-moving consumer goods (FMCG) category and hotel, restaurant, and catering (HoReCa) customer segment. It also plans to accelerate its private label brands initiatives in the staples category.
Udaan said that the capital raise will fortify its balance sheet and will provide enhanced financial flexibility as the company advances toward its public market debut.
"Over the last three years, we have transformed the business by building cost as a capability and a competitive advantage. We have reduced our EBITDA burn by 40% every year for the last three years and are on track to achieve full group EBITDA profitability in the next 18 months," said Vaibhav Gupta, co-founder and chief executive officer, Udaan.
Udaan was founded in 2016 by former Flipkart executives Amod Malviya, Vaibhav Gupta, and Sujeet Kumar. The B2B e-commerce platform connects retailers, wholesalers, and manufacturers on a single platform. It operates in various categories such as FMCG, staples, fruits and vegetables, pharma, electronics, fashion, and groceries.
The company facilitates supply chain and logistics operations and also provides financial products and services through Udaan Capital. It is also backed by investors such as DST Global, Tencent, Altimeter Capital, Hillhouse Capital, GGV Capital, Footpath Ventures, and Citi Ventures.
Published by HT Digital Content Services with permission from VC Circle.