January 25, 2021

India’s Udaan lands $280m in Series D funding

Indian business-to-business (B2B) e-commerce and payments firm, Udaan, has raised $280 million in funding through its extended Series D. This brings its total funding to above $1.2 billion.

Amod Malviya, Udaan co-founder

Octahedron Capital and Moonstone Capital make their debuts investing in Udaan. Existing backers Altimeter, DST Global, GGV Capital also took part.

The new funding is targeted at boosting Udaan’s presence in the market and improving its ability to serve small businesses.

Times of India sources report that the latest round values Udaan at $3 billion.

“COVID-19 has accelerated the already fast digital-led evolution of the highly fragmented and unorganised Indian trade/retail industry,” says Amod Malviya, co-founder.

“While at the same time, the pandemic also highlighted the unique structure of the Indian economy.”

Founded in 2016 by former Flipkart executives, Udaan became the fastest Indian company to reach unicorn status in 2018.

The firm works with around 2,500 brands across groceries, electronics, and pharmaceuticals. Udaan claims more than 3 million users in 900 cities.

“Participation of existing and new investors in this financing highlights the increasing recognition of capital markets […] of the opportunity [Udaan] offers,” adds Malviya.

Related: Indian payments fintech Cashfree lands Apis-led $35m Series B