Mumbai-based startup Centerac eMarketplaces Pvt Ltd that runs an online B2B auction platform for textile sector through XSTOK, has raised $452,000 (Rs 3 crore) from Oliphans Capital and a group of early stage investors.
The individual investors include Anupam Mittal (People Group), Jeetu Panjabi (ex CGI), Manish Chokshi (Asian Paints), Vineet Suchanti (Keynote Capital) and a group of professionals heading consulting, stock broking and logistics companies, according to a press statement.
XSTOK was launched by Mihir Shah and Sanjiv Khandelwal in January this year. Shah is an alumnus of University of Pennsylvania and has previously worked with Intel and Bank of America, while Khandelwal is from Boston University, and has worked in the B2B and e-auction segment for two decades.
"B2B space is ready for disruption, we are leveraging our experience in the space and technology to create an efficient and transactional marketplace for the sellers and buyers of surplus and ready to sell goods," according to Shah.
"Textile industry, though one of the oldest trades in India continues to be unorganised. It's is a win-win deal for both the seller and buyer of surplus textiles. It ensures transparent pricing, secure transactions and a large market for the seller; for buyers it provides access to much larger real-time inventory of surplus, irrespective of their location," he added.
The mobile-first marketplace currently allows buyers and sellers to access to excess stock of apparel, home textile, fabric and yarn products.
The company claims to have carried more than 150 auctions till now. It offers brands and products from companies like Bombay Dyeing, Welspun, Mafatlal, Arvind and Garden Vareli on board at present. It claims to have more than 130 registered sellers and over 4,000 buyers from across the country.
In the online auction space, there are other players such as HT Media-owned BidnBid, which carries out auctions for properties and London-based F.A.B. (Fine Arts Bourse). BidnBid, which works on a subscription-based model, was launched in May this year. F.A.B. had secured $200,000 in funding from art aficionado Abhishek Poddar, who is also director of Bangalore-based Sua Explosives & Accessories.