Hella Infra Market, which operates Mumbai-based construction material marketplace Infra.Market, on Thursday announced raising $20 million in a Series B round of funding from private equity fund-of-funds Evolvence India Fund, Sistema Asia Fund and global construction investor, Foundamental.
Returning investors Accel, Tiger Global and Nexus Venture partners also participated in the round, according to a statement. The company will use the funds to enter new markets and expand its private label offering and direct-to-retail channels.
Infra.Market last raised $26 million in a Series A round in December 2019 led by Tiger Global Management.
Founded in 2016 by Souvik Sengupta and Aaditya Sharda, the company caters to business-to-business and retail outlets in the construction material sector. The company operates in the same space as IL&FS backed mSupply, which shut shop in 2019.
The company uses technology for enhanced procurement experience and retails high-volume construction products under its own brand, providing price transparency, quality and logistics. The platform retails products such as ready mix concrete, flyash, construction chemicals and others.
“Infra.Market is disrupting the largely fragmented construction industry procurement in India
which is at the cusp of an inflection given the policy-driven focus on the sector,” said Sumit Jain, senior partner, Sistema Asia Fund in the statement.
The company, in the statement, said that nearly 10% of its revenues are generated from international operations, through its exports to Dubai, Singapore, Malaysia and other geographies. Infra.Market registers $180 million in annualised gross merchandise value and plans to grow it to $300 million by March 2021.
Infra.Market currently has a presence across 10 states and will be expanding to Tier-2 cities.