B2B E-commerce Platform Udaan Secures $75 Million in Series G Funding

B2B e-commerce platform Udaan has successfully secured $75 million through its Series G equity funding round at a consistent valuation. This was confirmed by the company’s co-founder and CEO, Vaibhav Gupta, during a recent town hall meeting.

According to sources, Udaan is currently valued between $1.5 billion and $1.8 billion in this funding round. Reports from Startup Superb suggest that Udaan had a valuation of approximately $1.8 billion during its last funding round, which included a $340 million investment led by M&G Plc, with contributions from Lightspeed and other investors.

Udaan intends to utilise the newly acquired funds to enhance customer experience, broaden its market presence, reinforce strategic vendor collaborations, and strengthen its supply chain and credit infrastructure.

The Economic Times, which was the first to report this development, has mentioned that an additional $25 million might be expected in the upcoming quarter.

In the previous month, Udaan obtained approval from the National Company Law Tribunal (NCLT) for the merger of its various business segments into a single entity, Hiveloop Ecommerce Pvt Ltd. This merger represents a significant step in its efforts to become a publicly listed company.

As of October 2024, Udaan also secured Rs 300 crore (over $35 million) in debt funding from a consortium of investors including Lighthouse Canton, Stride Ventures, InnoVen Capital, and Trifecta Capital. To date, the company has raised approximately $1.9 billion through both debt and equity funding.

Although Udaan’s gross merchandise value (GMV) saw a modest increase of 1.7%, reaching Rs 5,706.6 crore for the fiscal year ending March 2024, this is a slight rise from the Rs 5,609.3 crore recorded in FY23. The company, however, successfully reduced its losses by 19.4%, bringing it down to Rs 1,674.1 crore during the same timeframe.