[Funding Alert] Bizongo Secures $25 Mn from Liquidity Group – Mars Growth Capital

Bizongo B2B SaaS

B2B packaging startup Bizongo has raised $25 million from Liquidity Group – Mars Growth Capital. Bizongo will use the capital to expand its footprint in Southeast Asia and expand its supply chain business customer base.

Founded in 2015 by IIT alumni – Aniket Deb, Sachin Agrawal and Ankit Tomar, Bizongo is a technology-enabled B2B platform offering packaging solutions across sectors including consumer durables, fashion and lifestyle, textiles, consumer goods, pharmaceuticals, home and personal care.

In addition, Bizongo also offers supply chain automation and financing and digital vendor management services through its proprietary digital platforms – Procure Live, Partner Hub and Artwork Flow.

Sachin Agrawal, Founder of Bizongo, said, “Bizongo has enabled Indian manufacturers to automate their supply chain, gain access to working capital and expand their clientele. We want to bring similar benefits to manufacturers across Southeast Asia and help them scale. The credit facility from Mars Growth Capital will support our expansion into more sectors.”

Yaron Primovich, CEO of Mars Growth Capital and Global CRO of Liquidity Group, said, “The financing will enable 100% availability of packaging material and no inventory at very low inventory levels, and will also help Bizongo’s clients reduce the cost of acquiring a custom-made product line.”

Bizongo’s product offering includes carrier bags, material handling equipment, protective packaging, bags and tubes, packaging, containers, cans, carriers, paper products, bulk packaging and cartons.

In March, Bizongo acquired IoT startup, Clean Slate, for an undisclosed amount. It previously bought back an ESOP worth $3.7 million in February of this year.

In 2021, Bizongo secured $110 million in a Series D funding round at a post-money valuation of $600 million led by Tiger Global.

The startup claims to boast of 1,500 manufacturers across India and has a monthly capacity of 2 million tonnes. It further claims to have more than 120 clients and has shipped more than 860 million units to date. Its clientele includes Flipkart, Tata Cliq, Firstcry, Ecom Express and Licious, among others.

In FY2021, Bizongo reported earrings from operations at INR 318 crore and consolidated losses of INR 86 crore, according to Tofler.

In the packaging segment, it competes with the likes of Vistaprint and Bambrew, while in vendor management it faces competition from Sirion Labs, Zoho and Freshworks.

According to the report, India’s packaging industry, which was pegged at $50.5 billion in 2019, is likely to become a $204.81 billion market by 2025, growing at a CAGR of 26.7% during 2020-2025.

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