[Funding alert] Grofers raises $10M as part of its Series F round from Abu Dhabi’s Capital Investment LLC
Gurugram-based online grocery platform Grofers has raised $10 million as part of its ongoing Series F round from Abu Dhabi-based entity Capital Investment LLC, which is said to be an investment vehicle of the UAE-based Abu Dhabi Investment Group.
Grofers last secured more than $200 million Series F funding led by SoftBank Vision Fund in May this year. The round also saw participation from a new investor, South Korean investment firm KTB, and existing investors Tiger Global Management and Sequoia Capital.
At that time, Grofers said to use the capital to expand into new markets, build its supply chain, warehousing infrastructure, and private label product offerings, ensuring a steadily increasing range of products for customers.
Founded in 2013 by IIT graduates Albinder Dhindsa and Saurabh Kumar, Grofers has expanded its own range of brands over the last year and has over 800 products spread across various categories such as pantry staples and kitchen ingredients, FMCG products, personal hygiene products like soaps, shower gels, facewash, household needs like cleaning products, furnishing items and several other products under its own brands. Close to 90 percent of Grofers’ users are already using Grofers’ own brands like Grofers Happy Day and Grofers Happy Home. The company plans to increase its range from 800 products to 1,200 products by the end of 2020.
At present, Grofers claims to have a network of over 5,000 partner stores on its platform, and delivers over 25 million products to customers every month. Also, it achieved an annual revenue of $400 million last fiscal.
Recently, Grofers had told PTI that it was pursuing profitability by consolidating its reach in the cities where it has a presence in, as well as focusing on doubling its sales to Rs 5,000 crore by FY20. The company also said it was gearing up to hit the capital market with an initial public offer (IPO) within the next three years.
Earlier in May, Bengaluru-based Bigbasket also confirmed that it has closed $150 million in its Series F round from South Korea’s Mirae Asset Global Investments, UK government’s development finance institution CDC Group, and the Alibaba Group, at over $1 billion valuation.
US-based ecommerce giant Amazon too entered the grocery space by acquiring a majority stake in Aditya Birla’s retail chain More.
(Edited by Evelyn Ratnakumar)