Moglix, the B2B platform that connects buyers and suppliers via a marketplace model, has secured some fresh capital for expanding business. The company has raised $60 Million in a fresh round from Tiger Global and Sequoia. The capital will primarily be deployed to further expand base from 14 locations to 22-25 more.
Talking specifically of this round, Hong Kong-based Composite Capital has also come on board as a new investor. Composite Capital made its first investment in ClearTax last year.
This Series D round has been preceded by rather quick couple of funding rounds for Moglix. Flipkart CEO Kalyan Krishnamurthy had invested in his personal capacity a few months back. Prior to that, Moglix had raised a $23 Million Series C last year. While there is no official word on the new post-money valuation, it is around the $250-$300 million mark, reports ET.
The company will primarily use the proceeds to ramp up infrastructure. Moglix is currently present in 14 locations, and plans to be in 22-25 industrial hubs.
“We will be investing heavily in infrastructure, warehousing, logistics. We will be building fulfillment centres and warehouses, and establish operations at these locations. Today, we are sitting on 75,00 square feet of warehousing, and will get to 200,000-250,000 square feet in the first phase,” Garg said.
Combining this latest Series D, Moglix has now raised close to $100 million in private investment from a slew of marquee investors. The company counts Accel Partners India and US, World Bank’s International Finance Corp, Ratan Tata among its list of backers.
It has been a rather positive month for India’s online B2B players. While Moglix announces a fresh funding round, Indiamart recently debuted on the public market with a bumper IPO. The company saw its shares oversubscribed substantially, giving close to 35% returns to its IPO subscribers upon opening. The Indian B2B indirect purchase market is valued at close to $50 billion and is expected to cross the $100 billion mark by 2025. Indiamart and Moglix have been among the dominant players.