Infra.Market Secures INR 185 Crore Debt Funding to Accelerate Expansion
Infra.Market, a leading B2B e-commerce platform specializing in construction materials, has recently secured INR 185 crore (approximately $22 million) in debt funding from a consortium of prominent investors. This funding marks a significant step forward for the company as it continues to strengthen its position in the competitive B2B marketplace.
Investors and Funding Breakdown
According to filings with the Registrar of Companies (RoC), Infra.Market successfully raised this debt funding through the issuance of non-convertible debentures. The funding round was led by digital lending unicorn Yubi (formerly CredAvenue), alongside other key players such as agriculture financing platform Samunnati, Vivriti Capital, IKF Home Finance, Raymond, and more.
Yubi emerged as the largest contributor, investing INR 80 crore across two tranches. IKF Home Finance, Raymond, and Samunnati followed suit with investments of INR 40 crore, INR 25 crore, and INR 20 crore respectively. Vivriti Capital also participated in the round with an investment of INR 20 crore.
Strategic Use of Funds
This latest funding round is part of a larger INR 500 crore debt-raising initiative that was previously reported. The fresh capital infusion is aimed at bolstering Infra.Market’s financial capabilities, enabling the company to expand its operations and enhance market penetration. By leveraging this funding, Infra.Market is well-positioned to accelerate its growth trajectory and maintain its competitive edge in the B2B marketplace sector.
Previous Fundraising and Financial Performance
Infra.Market has been on a steady fundraising spree, with this debt funding round being the latest in a series of successful initiatives. The company previously raised INR 100 crore from SK Finance in another debt round. Additionally, Infra.Market recently secured approximately INR 390 crore in an equity round from Liquidity Group and Mitsubishi UFJ Financial Group’s MARS Unicorn Fund.
These funding efforts highlight Infra.Market’s robust financial strategy and its commitment to sustaining growth and innovation in the B2B space.
Company Overview and Market Presence
Founded in 2016 by Souvik Sengupta and Aaditya Sharda, Infra.Market has rapidly established itself as a leader in manufacturing and distributing construction materials. The platform offers a diverse range of products, including concrete, AAC blocks, steel, pipes and fittings, and MDF, under proprietary brands like IVAS, Shalimar Paints, and RDC. Infra.Market leverages advanced technology to streamline procurement processes, making it a preferred choice for businesses in the construction industry.
Competitive Landscape and Future Prospects
Backed by prominent investors such as Tiger Global, Accel, and Nexus Ventures, Infra.Market has raised a total of approximately $520 million to date. The company competes with industry peers like OfBusiness, Moglix, and Zetwerk, maintaining a strong market presence through continuous innovation and strategic partnerships.
Financial Performance and Outlook
Despite facing market challenges, Infra.Market reported a net profit of INR 155.2 crore in the fiscal year 2022-23 (FY23), even though this marked a 17% decline from the previous year. However, the company’s operating revenue surged by an impressive 90% year-on-year to INR 11,846.5 crore, reflecting its resilience and ability to adapt to changing market dynamics.
Conclusion
Infra.Market’s latest debt funding round is a testament to its strong financial position and ambitious growth plans. With a well-defined strategy and the backing of reputable investors, the company is poised to continue its upward trajectory in the B2B e-commerce space, driving innovation and delivering value to its customers and stakeholders.
