IPO-bound OfBusiness raises Rs 100 Cr from Cornerstone VC
OfBusiness marks first investment from Cornerstone's $200M Fund 2 launched in April last year.
B2B Commerce platform has raised Rs 100 crore from Cornerstone Ventures in a fresh funding round ahead of its public market debut. The investment marks the maiden round for Cornerstone Ventures' Fund 2, a $200 million vehicle launched about a year ago.
"This fund has a hybrid strategy to back both early-growth companies (about 70% of the corpus) and late-stage scaled B2B businesses (about 30% of the corpus). Our goal is to serve as an end-game partner through scale-up, consolidation, and eventual exit or IPO. OfBusiness is our first investment in the late-stage strategy and one of the opportunities we have been excited about for a while now," Abhishek Prasad, Managing Partner at Cornerstone Ventures, said in a press note.
OfBusiness provides SMEs with access to raw materials and financing solutions. It helps SMEs find suppliers, see clear pricing, and make easy purchases through its digital marketplace. It uses AI to improve buying and manage risks. Its financing arm, Oxyzo, offers fast, data-based loans without collateral. The company is also growing its own manufacturing in key sectors.
The company is backed by Japanese investment firm SoftBank and New York-based Tiger Global, it has raised about $764 million across rounds.
Founded by Asish Mohapatra, Ruchi Kalra, Bhuvan Gupta, Vasant Sridhar, and Nitin Jain, the company converted into a public entity earlier this year. As per regulatory filings, it changed its status to a public company and renamed itself from "OFB Tech Private Limited" to "OFB Tech Limited".
Edited by Megha Reddy