Udaan: Empowering B2B Growth Across India

Udaan, founded in 2016 by former Flipkart employees Amod Malviya, Sujeet Kumar, and Vaibhav Gupta, serves as a comprehensive B2B platform for business needs. It offers inclusive tech tools for brands, retailers, and manufacturers, promoting a level playing field for scaling and growth. With a focus on transparency and accessibility, Udaan provides national reach to 15 million manufacturers, 25–30 million retailers, and 10-12 million institutional businesses, encompassing over 60 million MSMEs in India. The platform boasts a vast network of 3 million registered users and 25,000–30,000 sellers across 900+ cities, spanning 12,000+ pin codes.

As of March 31, 2023, it had achieved noteworthy financial milestones, disclosing an impressive annual revenue of $699 million while successfully narrowing its losses to under $380 million. Positioned at the Series E stage, the company holds a robust valuation of $3.1 billion, underpinned by a substantial total funding of $1.84 billion garnered against equity across 17 funding rounds since its inception on November 23, 2016, as mentioned here.

Udaan’s strategic acumen is apparent not just in its financial achievements but also in its adept positioning among industry competitors like IndiaMART, Solv, and ProcMart. Udaan has established key partnerships with Danish Sportstyle and Reliance Retail, further enhancing its influence in the market. With a forward-thinking approach, Udaan has set ambitious goals, foreseeing an 80 percent year-over-year expansion in the next 3–5 years. This financial data underscores Udaan’s unwavering dedication to continuous growth, solidifying its strategic dominance in the dynamic B2B sector and affirming its status as a market leader.

Udaan encountered a significant challenge in determining the optimal product and market mix, a crucial factor for success in the B2B marketplace. Despite carving out a distinct niche, sustaining this lead remains a formidable task. Convincing retailers and persuading wholesalers to transition their businesses online posed an initial hurdle for Udaan. Additionally, the establishment of a robust supply chain network emerges as another substantial challenge for B2B e-commerce firms, underscoring the complexity faced by entities like Udaan in this domain.

Udaan has ambitious plans for the future, intending to leverage new capital to enhance its supply chain network across India. The company is also dedicated to fostering the growth of its marketplace in both established and emerging categories. The founders are confident that they are creating an improved platform for small businesses in India. With the recent fund-raise, Udaan’s business is fully funded and shall likely achieve its objective of becoming profitable in the next 12–18 months, as per various reports.

Startup Funding Summary

Udaan, Bengaluru-based e-commerce platform, has raised $340 Mn in Series E funding from M&G Plc, Lightspeed Venture Partners and DST Global – Read More

Vegrow, Bengaluru-based argitech startup, has raised $46 Mn in Series C funding from GIC, Prosus, Matrix Partners India, Elevation Capital and Lightspeed – Read More

PlasmaGen, Bengaluru-based biopharma company, has raised $27 Mn in funding from Artian Investments, Ashish Kacholia, Anurag Bagaria, Dushyant Patel and other HNIs – Read More

Exponent Energy, Bengaluru-based EV startup, has raised $26 Mn in Series B funding from Eight Roads Ventures, TDK Ventures, Lightspeed, YourNest VC, 3one4 Capital, AdvantEdge VC and Pawan Munjal’s family office – Read More

Snitch‎, Bengaluru-based apparel & fashion brand, has raised $13 Mn in Series A funding from SWC Global and IvyCap Ventures Advisors Private Limited – Read More

M&A Snippets

Chennai-based fintech startup M2P Fintech acquired Delhi-based data analytics and intelligence platform Goals101 for $30 Mn – Read More

New Delhi-based motor vehicle manufacturer Hero MotoCorp acquired additional 3% stake in Bengaluru-based EV manufacturer Ather Energy for $17 Mn – Read More

Ahmedabad-based pharmaceutical manufacturer Zenex Animal Health acquired Ghaziabad-based veterinary service provider Ayurvet for an undisclosed amount – Read More