Online business-to-business (B2B) platform Udaan has secured approximately Rs 300 crore in a debt-financing round led by Lighthouse Canton, Stride Ventures, InnoVen Capital, and Trifecta Capital. According to the company, this capital injection will help Udaan solidify its standing as the go-to partner for kirana stores and small businesses across India.
Strengthening Reach and Efficiency
Udaan plans to utilize the fresh funds to expand its market presence across India through its “Micro-Market strategy.” This includes refining operational efficiency, enhancing its Go-to-Market (GTM) capabilities, improving supply chain processes, and launching new micro-fulfillment centers. These strategic moves will allow Udaan to serve small businesses and kirana stores in a more targeted and efficient manner.
Driving Profitability in B2B Market
The recent funding aligns with Udaan’s objective of long-term profitability. With a focus on operational excellence, the company aims to reinforce its leadership in the eB2B market by continuing to serve as a trusted partner for small retailers across the nation. The company’s Senior Vice President of Group Finance, Kiran Thadimarri, highlighted that the funding strengthens Udaan’s financial position, enabling it to accelerate strategic initiatives, particularly the expansion of its Cluster model to improve operational efficiency.
A Track Record of Growth
Udaan’s latest funding round reflects investor confidence in the company’s consistent growth trajectory. Over the past ten quarters, Udaan has demonstrated steady quarter-on-quarter growth, reinforcing its market position and attracting interest from leading financial institutions.
Previous Fundraising Milestones
This debt-financing round follows Udaan’s successful Series E funding, which raised USD 340 million in December 2023. With both equity and debt capital, Udaan is well-positioned to advance its mission of empowering small businesses across India’s diverse economic landscape.
