B2B marketplace ProcMart raises $30 mn Series B money
Noida-based business-tobusiness marketplace ProcMart has raised $30 million in a Series B round led by Fundamentum Partnership, a venture capital firm co-founded by Nandan Nilekani and Sanjeev Aggarwal, along with Edelweiss Discovery Fund. South Korea-based Paramark Ventures also participated in the round.
ProcMart counts Sixth Sense Ventures and IndiaMART’s chief executive, Dinesh Agarwal, as existing investors. The funding will help ProcMart pursue its inorganic growth initiatives, as well as expand its distribution network across India and in Southeast Asia.
Since 2023, the company has been planning to expand its presence in biofuel, packaging and safety supplies, and had allocated nearly $18 million to fund its merger and acquisition plans. “We are pushing towards strategic acquisitions (for unbranded supply category), so that we can build a concrete supply chain, from manufacturing to end supply, and increase our gross margins,” founder Anish Popli said in an interview. ProcMart, operated by Instant Procurement Services Pvt. Ltd, connects buyers and sellers through an application, facilitating easy procurement of consumer goods, durables, automotive, oil and gas, healthcare, and pharmaceutical products.
“We want to expand our presence in existing international markets such as Malaysia and Indonesia. This year, we are looking to enter Vietnam also,” Popli added.
ProcMart will also use the funds to expand its team, upgrade its technology platform and expand its footprint in new markets in India. The B2B startup is benefiting from the robust digitization trend in manufacturing in India, driven by the China-plus-one strategy andgovernmentalpolicyinitiatives. “We think this could be a great place to build a verticalized category,” Prateek Jain, principal, Fundamentum, said.
“In the MRO space, given that this is a longtail category– with very large number SKUs– the aggregation pay could be very, very profitable. One of the key things we were chasing is the digitisation of B2B businesses in India focusing on large enterprises.