PepperTap, the hyperlocal delivery service for all your grocery needs has now nabbed $36 Million in a fresh Series B round, led by Snapdeal with participation from existing investors Sequoia India and SAIF Partners. A few new investors, namely Ru-net, JAFCO, and BeeNext also chipped in.
The grocery delivery startup is also looking to close another $20 Million in this round from a different set of investors, announcement for which may happen in a few weeks. For PepperTap, this will its second major capital raising in a span of six months. The company had previously raised $10 Million in a Series A round, led by SAIF Partners.
Navneet Singh, Co-Founder and CEO, PepperTap says,
Investment by an established player like Snapdeal is a stamp on our asset-light, low burn business model and our execution track record. We look forward to leveraging Snapdeal’s experience to help our partner stores develop their capabilities and multiply their sales.
PepperTap has been on a hyper-growth track since its inception 9 months ago. From less than $1mn GMV run rate at the start of Fiscal Year 2015-16, the grocery deliver upstart claims to be on track to end the year with a GMV run-rate of over a whopping $250mn — possibly the largest and most noteworthy figure we have seen in rather glutted hyperlocal segment in India.
With its previous fund-raise, PepperTap expanded to 10 more Indian cities. PepperTap launched its services in Gurgaon initially before expanding to Delhi and Noida in February.
PepperTap however works more on an aggregator model, rather than keeping its own inventory. The startup collects catalogs from nearby grocery stores and thus places your order to the one which can delivery the required items in the shortest possible time.