Udaan Secures INR 300 Cr Debt Funding to Boost Micro-Market Strategy and Market Expansion With the fresh capital, Udaan plans to intensify its 'Micro-Market strategy,' focusing on expanding its geographical reach and deepening buyer engagement across key regions.
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Udaan, a leading eB2B platform based in Bengaluru, has secured INR 300 crore in debt financing from Lighthouse Canton, Stride Ventures, InnoVen Capital, and Trifecta Capital.
This funding round marks another strategic step for Udaan as it advances its goal of profitability and market expansion. With the fresh capital, Udaan plans to intensify its 'Micro-Market strategy,' focusing on expanding its geographical reach and deepening buyer engagement across key regions.
The funds will support Udaan's Go-to-Market (GTM) initiatives, boost supply chain efficiency, and enable the launch of new Micro-fulfilment Centres (MFCs). The company also aims to enhance service delivery, aiming for a seamless experience for its substantial customer base. With an impressive 70% market share, Udaan is a prominent player across various sectors, including FMCG, staples, pharma, and fresh produce.
Kiran Thadimarri, Senior Vice President of Group Finance at Udaan, remarked, "This funding will further strengthen our financial position, providing the flexibility to double down on key strategic initiatives such as expanding our cluster model to drive operational excellence, enabling us to continue on our path to profitability while solidifying our market position."
In 2023, Udaan raised USD 340 million in a Series E round and has since focused on efficiency, leading to a 30% reduction in EBITDA burn. The platform has seen a 60% revenue boost and a 50% increase in daily active buyers this year, reinforcing its growth trajectory.
Founded in 2016, Udaan now serves over 3 million retailers across 900 cities, solidifying its position as a crucial player in India's eB2B landscape.
