Bizongo, a business-to-business marketplace for packaging materials, has secured $30 million (about Rs 214.5 crore) in its Series C funding round led by Swiss hedge fund Schroder Adveq.
Existing investors B Capital, International Finance Corporation, Accel and Chiratae Ventures also participated in the round, according to a Bizongo statement cited by multiple media reports.
The announcement comes after VCCircle in July last year reported that Bizongo, operated by Smartpaddle Technology Pvt. Ltd, had raised $15 million from investors including B Capital and IFC.
VCCircle has reached out to Bizongo on the details of the fresh investment and will update this report accordingly.
The Mumbai-based company will use the fresh capital to enhance its technological infrastructure, expand to sectors such as pharmaceutical packaging and grow its presence across India.
Sachin Agarwal, co-founder and chief operating officer at Bizongo, said the company’s business model was helping clients reduce their packaging material procurement costs by 2-5%. It was also helping supply partners to ensure better production planning, he added.
Bizongo was founded in 2015 by Agarwal, Aniket Deb and Ankit Tomar. The startup had raised seed funding from Accel in 2015 and secured $3 million in November 2016 in its Series A round of funding from IDG Ventures—now known as Chiratae—and Accel. In May 2018, it raised $22 million in its Series B round. B Capital, IFC, Accel and Chiratae had also participated in that around.
The company offers boxes, containers, pouches and bags for industries such as food and hospitality, consumer goods and retail. The company has warehouses in Mumbai, Bengaluru and Delhi. Its clients include BigBasket, Nykaa, Swiggy, Delhivery, Teabox and Tata Cliq.
Bizongo is among a growing number of B2B startups that have attracted investor interest as they seek to offer streamlined, efficient and organised procurement and supply chain services to businesses of all sizes.
One of the larger cheques to a startup in the segment was written for industrial goods marketplace Moglix, which raised $60 million in its Series D funding round from US-based Tiger Global Management and others in July last year.
In December, Tiger Global led a $20 million Series A funding round in Infra.Market, a marketplace for real estate and construction materials. Accel and Nexus Venture Partners also participated in the round. Infra.Market had raised $3.5 million in a seed funding round from Accel in August.