WayCool Foods and Products, which offers a B2B omnichannel agri supply chain platform, on Thursday said that it has raised $7.8 million in debt from non-banking financial company (NBFC) Samunnati, RBL Bank and InnoVen Capital.
The fresh capital will be used to meet working capital needs and boost automation in its distribution centres and warehouses, the Chennai-based company said in a statement.
WayCool said it plans to achieve 70% digital and mechanical automation across all distribution units by mid-2021 to improve process flow and efficiency, and eliminate error-prone mundane activities.
“Samunnati and InnoVen Capital have been our long-term partners in growth, and the present funding lines are a natural evolution of this partnership. We welcome RBL Bank to our platform. The innovative instruments that we are developing in partnership with RBL Bank will free the business from working capital as a growth limiter,” Karthik Jayaraman, co-founder and CEO of WayCool Foods and Products, said.
The latest fundraise comes months after the company raised $5.5 million in a debt financing round, which was guaranteed by United States International Development Finance Corporation (USIDFC) and financed by IndusInd Bank.
Earlier this year, the startup also closed a Series C round of $32 million, led by Lightbox Ventures.
Till date, WayCool has raised three rounds of equity funding from Lightbox Ventures, LGT Lightstone Aspada and FMO. Additionally, it had raised debt in the past from Caspian Impact Investment and Northern Arc Capital.
Founded in July 2015 by Jayaraman and Sanjay Dasari, the startup procures, processes and distributes a range of food products including fresh produce, staples and dairy products, servicing over 16,000 clients across south India. It operates a soil-to-sale model, engaging with a base of 50,000 farmers in more than 50 regions across India, while bringing efficiency through its direct supply chain model.