Infra Market

The marketplace for construction material, has raised INR 100 Cr in venture debt funding from the Alteria Capital. In addition to this company has recently entered the unicorn club, after successfully raising the $100 Million in Series C funding round led by Tiger Global.

The company stated that the new funding will enable Infra.Market to seed newer markets, enhance its technological offerings and advance its initiatives such as private label brands, exports, and direct-to-retail channels.

Founded in 2016 by Souvik Sengupta and Aaditya Sharda, Infra.Market is a B2B online procurement marketplace for real estate and construction material that leverages technology to offer a smoother procurement experience for its customers in their respective business scope. The startup ties up with the contract manufacturers and asks them to utilize the idle capacity and manufacture the best products for its brand.

Punit Shah, partner, Alteria Capital said, “The Company has performed very well and has beaten all the expectations. The capital generated will be used to meet the working capital requirements to grow the business as well as for the other uses.”

Commenting on the deal, Souvik Sengupta, founder, Infra.Market, said, “We are very excited to have Alteria on board. We have been pleased with the speed and thoroughness they have shown in understanding our business over the period of time. We happily look forward to this partnership and leveraging their network as we scale up our business in the coming years.”

The company has witnessed the profitable phase since its inception in 2016. In FY20, the company had noted a 5.5 times jump in its revenue to INR 350 Cr. Besides this, even Its expenses grew at the same rate to reach INR 339 Cr, leading to a profit of INR 8.59 Cr. The B2B marketplace had reported revenue of INR 63 Cr with expenses worth INR 60.75 Cr, leading to a profit of INR 1.74 Cr.

The company had also launched another subsidiary that is, Hella Infra Market Retail in October 2019, which too turned out to be profitable in FY20. The new subsidiary launched focuses on the direct-to-retail segment by directly selling its construction material to retails. Analyzing all the transactions, the company’s consolidated revenue reached INR 352 Cr with an expenditure of INR 330 Cr.

Punit Shah, pointing to the investment in the B2B firm commented “B2B commerce as a segment is still largely untapped and there lies a lot of potential. So we felt that there is a strong need for a platform where founders can come together and share their learning’s.”

The company in its news release commented that “On an average, the company is targeting the $140 Billion construction materials market with a strong focus on the infrastructure sector. “Infra.Market is expected to significantly benefit from the 34% rise in the allocation for infrastructure projects in the 2021 Union Budget of India.”

Despite its immense potential in the economy, currently, the majority of the construction materials market is largely unorganized

Online Team AsiaTech
Online Team Asia Tech is a team of Journalists, Entrepreneurs, and Enthusiast Writers who contribute to the platform by bringing everyday stories, updates, opinions and insights from the Asian Startup Ecosystem.

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