Brick&Bolt Secures Rs 16.6 Crore in Pre-Series B Funding

Brick&Bolt, a tech-enabled construction company, is attracting investment with its successful raise of Rs 16.6 crore (approximately $1.95 million) in a pre-Series B funding round from Foundamental. Foundamental, an investment firm based in the US, has a track record of supporting Indian companies, notably participating in the Series A funding of Infra.Market back in 2020.

The board at Brick&Bolt has approved a special resolution to issue 369 pre-Series B compulsory convertible preference shares at a price of Rs 4,50,087 each to gather the stated funds, as confirmed by a regulatory filing from the Registrar of Companies (RoC).

Utilization of Funds

Brick&Bolt plans to utilize the proceeds primarily for immediate working capital needs and long-term funding objectives for its operations.

Construction Solutions Offered by Brick&Bolt

As a provider of comprehensive construction solutions, Brick&Bolt specializes in various services, including complete construction, carpentry, woodwork, and kitchen renovations catering to land and home owners. The company serves multiple locations including Bengaluru, Mysuru, Hyderabad, Chennai, Delhi-NCR, and Pune.

Investment Background

Data from startup intelligence platforms indicates that the Bengaluru-based company has secured roughly $16.5 million to date, with notable contributions from Surge Ventures, Accel, and Celesta Capital. This total includes a significant $10 million raised during a Series A round in January 2023 led by Accel and Celesta Capital.

Projected Company Valuation

According to estimates from Startup Superb, post-allotment, Brick&Bolt is projected to be valued at approximately Rs 891 crore ($105 million). This suggests an impressive nearly 2.9X increase from its previous valuation of around Rs 310 crore ($36.5 million) from the Series A funding round. Foundamental, the latest investor, is expected to hold an 8.28% stake in the company, with potential for additional funding in this round that might further influence its valuation.

Financial Performance

While the financial results for FY25 are pending, Brick&Bolt has reported an impressive 81% increase in operating revenue, reaching Rs 42.25 crore for the fiscal year ending March 2024. It is noteworthy that the company has effectively reduced its losses by 10%, with the total losses recorded at Rs 31 crore for the last fiscal year (FY24).