Bengaluru-based Jumbotail said it will use the funds to scale up its “go-to-market products and services for new and emerging brands”.
The funding round also saw participation from Heron Rock, Sabre Investment, Arkam Ventures, Jarvis Reserve Fund and Reaction Global, among others.
Artal Asia had earlier led a $85-million funding round in Jumbotail in 2021.
With the fresh funds, Jumbotail has so far raised $143 million in equity funding from investors like Heron Rock, Nexus Venture Partners, Kalaari Capital, and Arkam Ventures.
Jumbotail is aiming to be “fully profitable on an operational basis across (its) entire network before the end of 2024,” cofounder and chief operating officer Ashish Jhina said in a statement.
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Last fiscal, the firm reported a net loss of Rs 264 crore on operating revenue of Rs 819 crore.“We will strengthen our leadership position by going deeper into our existing markets and by helping brands reach kiranas with the lowest total cost of activation and the fastest route to market in the sector,” Jhina said.
The firm runs an online B2B marketplace for kirana stores as well as a fintech platform to provide payment, credit solutions and financial services. It competes with the likes of Bengaluru-based companies Udaan and Ninjacart.
In January, ET had reported that Udaan’s valuation had nearly halved to about $1.8 billion in a down round. The firm has been scaling down operations over the last 12-18 months to reduce burn, and reported a 43% fall in gross revenue to Rs 5,629 crore for FY23, while loss narrowed to Rs 2,075 crore from Rs 3,123 crore in FY22.
On the other hand, Ninjacart expanded its business over the past year to provide a marketplace for farmers and traders and help them avail of financial services, cofounder and chief executive Kartheeswaran KK had told ET in October last year. The firm is now aiming for revenue of more than Rs 2,500 crore in FY24, compared with Rs 1,212 crore in FY23, he had said at the time.
