Infra.Market, a leading construction goods and services platform, has successfully raised $27 million in a combination of equity and debt funding. This latest round includes $18 million from its Series E2 funding and $9 million in debt from Innoven Capital. The funding comes just three months after the company secured $50 million from the Mars Fund. With this new capital, Infra.Market aims to enhance its product offerings, expand its market reach, and prepare for an upcoming initial public offering (IPO).
Strategic Funding to Drive Growth
Infra.Market’s recent funding round is a significant milestone in its growth journey. The company raised $18 million through the issuance of 7,028 Series E2 preference shares at an issue price of Rs 213,438.7 each. This equity funding was led by key investors, including Amit Vijaysinh Barad and Barad Sanjay Amarsinh, who together invested Rs 45 crore. The remaining funds were contributed by various individual shareholders, reflecting strong investor confidence in Infra.Market’s business model and growth potential.
In addition to the equity funding, Infra.Market secured $9 million in debt from Innoven Capital. This debt funding will provide the company with the necessary liquidity to support its operational and expansion plans. The combined equity and debt funding will enable Infra.Market to invest in new technologies, enhance its product portfolio, and strengthen its market position in the competitive construction materials sector.
The company has been on a growth trajectory, with its gross revenue rising 89% to Rs 11,846 crore in FY23. Despite a 17% decline in profit to Rs 155 crore, Infra.Market remains focused on achieving sustainable growth and profitability. The new funding will play a crucial role in driving the company’s strategic initiatives and long-term vision.
Expanding Market Reach and Product Offerings
Founded in 2016 by Souvik Sengupta and Aaditya Sharda, Infra.Market has established itself as a key player in the construction materials market. The company leverages technology to provide an enhanced procurement experience for all players in the construction ecosystem. With the new funding, Infra.Market plans to expand its market reach and diversify its product offerings to cater to the evolving needs of its customers.
Infra.Market’s product portfolio includes construction materials, infrastructure goods, and technical equipment. The company aims to capitalize on the growing demand for construction materials by offering a comprehensive range of high-quality products. By leveraging its strong distribution network and technological capabilities, Infra.Market is well-positioned to meet the needs of its customers and drive business growth.
The company is also preparing for an initial public offering (IPO) and may file its draft red herring prospectus (DRHP) soon. The IPO will provide Infra.Market with additional capital to support its expansion plans and enhance its market presence. The company is targeting a valuation higher than the $2.5 billion commanded during its 2021 fundraise, reflecting its improved financials and growth prospects.
Future Prospects and Strategic Vision
The fresh capital infusion will enable Infra.Market to pursue its long-term strategic vision and achieve sustained growth. The company plans to leverage its strong financial position to explore new markets, invest in cutting-edge technologies, and enhance its product offerings. This forward-looking approach is expected to create value for its stakeholders and drive business growth.
Infra.Market’s leadership team remains focused on executing its growth strategy and achieving its long-term vision. The company aims to build an end-to-end procurement solution for the construction industry, providing a seamless and efficient procurement experience for its customers. By continuously innovating and adapting to market trends, Infra.Market is poised for continued success in the dynamic construction materials market.
The support from investors like Tiger Global, Accel, and Nexus Ventures is a significant boost for Infra.Market. Their expertise and resources will help the company navigate the challenges of scaling up and entering new markets. With a clear strategic vision and a strong team, Infra.Market is well-positioned to capitalize on emerging opportunities and achieve its growth objectives.
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