B2B Ecommerce Growth: Infra.Market's Fresh Funding and Upcoming IPO

Sunday, 15 September 2024, 22:25

B2B ecommerce platform Infra.Market is gearing up for another funding round of $150-200 million, aiming for a higher valuation as it prepares for its IPO. With rising interest from existing investors, the fresh capital will bolster its market debut strategy and enhance its growth trajectory. This move highlights the increasing dynamism in the B2B sector as companies seek greater investments amid an expanding digital landscape.
Inc42
B2B Ecommerce Growth: Infra.Market's Fresh Funding and Upcoming IPO

B2B Ecommerce Landscape Shifting

Close on the heels of lining up as many as eight investment banks to helm its $700 Mn initial public offering (IPO), B2B ecommerce platform Infra.Market is now reportedly considering to scoop up a fresh funding of $150-200 Mn (about INR 1,250-1,680 Cr). As per Moneycontrol’s report, citing sources, Infra.Market’s existing investors, including Tiger Global, Foundamental and Evolvence would inject majority capital for the new round and also believed to raise their stake in the company.

The platform is also in discussions to add new investors to its cap table ahead of its market debut. Inc42 has reached out to Infra.Market for comments on the development. The story will be updated based on response.

Funding Insights and Financial Performance

“Infra.Market is planning to raise around $150-200 million in its pre-IPO round. The valuation is still under discussion, but will be higher than $2.5 Bn commanded during its 2021 fundraise, on the back of improved financials,” one of the sources was quoted as saying in the report. Founded in 2016 by Souvik Sengupta and Aaditya Sharda, Infra.Market manufactures construction materials under its private-label brands and leverages technology to digitize the procurement process.

  • IPO Strategy: Eight investment banks lined up for the $700 Mn IPO.
  • Fresh Capital: $150-200 Mn funding planned before market debut.
  • Established Stake: Existing investors keen to increase their investments.

This new development comes weeks after the Thane-based company lined up as many as eight investment banks including Kotak Mahindra Capital, Goldman Sachs, Jefferies, ICICI Securities, and others to helm Infra.Market’s $700 Mn initial public offering (IPO). “Once the round closes, the company will look to file its draft IPO papers in December,” the source also said.

“The entire round will be primary capital, there will be no secondary component,” the report quoted another source as saying. It is to note that the B2B ecommerce platform previously raised INR 185 Cr (about $22 Mn) in debt funding from digital lending unicorn Yubi (formerly CredAvenue), agriculture financing platform Samunnati, Vivriti Capital, among others, by issuing non-convertible debentures, in July.

Market Trends and Upcoming IPOs

In the fertile season for IPOs for startups in the country, aside from Infra.Market, food-delivery app Swiggy, logistics major Ecom Express and coworking startup Smartworks are also eyeing a market debut in the upcoming months.

  1. Recently Listed: Companies like Go Digit and FirstCry have debuted in 2024.
  2. Revenue Surge: Infra.Market reported operating revenue increase of 90% in FY23.
  3. Profit Decline: Net profit declined 17% to INR 155.2 Cr from INR 185.9 Cr.

This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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