1️⃣ A Significant Raise
ProcMart, a Noida-based B2B marketplace, has secured a substantial $30M in a Series B funding round. The investment was spearheaded by Fundamentum Partnership and Edelweiss Discovery Fund, with participation from South Korea's Paramark Ventures. Nandan Nilekani and Sanjeev Aggarwal's venture firm, along with current stakeholders like Sixth Sense Ventures and IndiaMART's CEO Dinesh Agarwal, are betting big on ProcMart's potential to redefine industrial procurement.
2️⃣ Strategy for Growth
With the fresh capital, ProcMart plans to enhance its distribution networks both within India and across Southeast Asia. Founder Anish Popli highlighted the firm's strategy to pursue inorganic growth through strategic acquisitions in unbranded supply categories, aiming to fortify their supply chain and boost gross margins. "We are pushing towards strategic acquisitions so that we can build a concrete supply chain, from manufacturing to end supply," Popli explained.
3️⃣ Technological and Geographic Expansion
The company is also set to upgrade its technological platform and expand its operations into new markets, including Vietnam. This expansion is part of a broader strategy to capitalize on the robust digitization trend in manufacturing, driven by the China-plus-one strategy and governmental policy initiatives. "This could be a great place to build a verticalized category," commented Prateek Jain, principal at Fundamentum.
4️⃣ Future Prospects and Public Ambitions
ProcMart's aggressive growth strategy is not just about immediate expansion but also setting the stage for a public listing within the next four years. After a revenue tripling in FY24 to nearly ₹625 crore, the company is targeting ₹1,000 crore in FY25 and plans to expand further into Southeast Asia and Africa. "We are excited about the prospects of deepening existing categories, customers, and geographies," said Ashish Agarwal, managing partner at Edelweiss Discovery Fund.
How will ProcMart reshape the B2B landscape?
