Infra.Market, a business-to-business marketplace for real estate and construction materials, has raised $20 million (approximately Rs 143.26 crore at current exchange rates) in its Series A funding round led by US-based investment firm Tiger Global.
Other investors that participated in the round include Nexus Venture Partners. Existing investor Accel also contributed to the round, Infra.Market said in a statement.
The startup will use the funds for expansion in cities such as Hyderabad, Ahmedabad, and Chennai and also aims to grow its revenue from current $5 million per month to $20 million monthly, it added.
The development comes after the Mumbai-based company raised $3.5 million (around Rs 25.04 crore) in a seed funding round from Accel in August. It also raised $4.5 million in debt funding from venture debt and lending platform Innoven Capital in September.
Other investors in the company include Dhruv Agarwala, the founder, and chief executive officer of Proptiger.
Infra.Market, operated by Hella Infra Market Ltd, was founded in 2016 by Aaditya Sharda and Souvik Sengupta. Sharda, an alumnus of IIM Ahmedabad, has a decade-long experience in the ﬁeld of infrastructure and construction. Sengupta, an alumnus of IIM-Bangalore, has been a chartered accountant for the past seven years.
The company, which currently has a presence in Mumbai, Pune and Bengaluru, operates an end-to-end service model that negates the need for its clients to depend on multiple partners and vendors. It provides products such as ready-mix concrete, fly ash and construction chemicals, among others, according to its website.
The investment is the latest bet by Tiger Global as it continues its spree following the end of a three-year hiatus last year. In September, for instance, it led a Series B funding round worth $23 million (around Rs 163.7 crore) in Wow! Momo Foods Pvt. Ltd, which operates and owns brands Wow! Momo and Wow! China.
The investor led a $42 million (around Rs 300 crore) Series C funding round in education-technology startup Vedantu Innovations Pvt. Ltd along with private equity firm WestBridge Capital. Tiger Global also took part in a $120 million (Rs 862 crore) funding round in financial-technology startup Cred and invested $15 million (Rs 108 crore) in INDwealth, an artificial intelligence-based wealth management venture.
Deals in the B2B e-commerce segment
There has been considerable investor interest in the B2B e-commerce segment, with startups catering to various domains as they seek to offer streamlined, efficient and organised procurement and supply chain services to businesses of all sizes.
Last month, Nexus Venture Partners invested Rs 14.2 crore (around $2 million) in Jumbotail Technologies Pvt. Ltd, which runs an online marketplace for food and groceries targeted at wholesale buyers. Prior to that, Jumbotail in June raised Rs 90 crore ($12.5 million) in its Series B funding round led by Heron Rock, an omni-stage venture fund.
In September, Udaan raised around $300 million (around Rs 2,166 crore) in its Series D funding round from investors including Altimeter Capital and Footpath Ventures. The funding came a year after the startup raised $225 million (around Rs 1,593 crore) in its Series C funding round from DST and Lightspeed Venture Partners.