BigBasket receives Rs 350 cr from its holding firm as competition intensifies

• ByStartupStory     |    June 3, 2022

Innovative Retail Concepts, which operates online grocer BigBasket, has received Rs 350 crore from holding firm Supermarket Grocery Supplies. On May 24, this year, the investment was approved, and the company issued 3.5 crore equity shares. 

The money is anticipated to help Tata Digital-owned BigBasket fight with Amazon, Walmart-owned Flipkart, and Reliance’s JioMart for a part of the online grocery and food industry, which experts predict would grow to $790 billion by 2024 from $603 billion in 2019.

BigBasket co-founder and CEO Hari Menon stated that the firm would increase offline outlets from 90 to 695 in a year in order to cover 100% of its client base. In 2021-22, it had a GMV of roughly Rs 10,000 crore.

BigBasket has stated that it anticipates gross merchandise value (GMV) on its platform to increase by 30% to Rs 13,000 crore in the current fiscal year, owing to its fast commerce sector’s rapid growth and development of its footprint across the nation. Tata Digital, a wholly-owned subsidiary of Tata Sons, bought a controlling share in Supermarket Grocery Supplies last May. It made a $219 million investment in BigBasket.

The company is increasing the number of stores in order to reach 100% of its clients. It now has approximately 90 locations and plans to expand to roughly 695 outlets by the end of the year. This will provide us with complete coverage of all existing clients. The company intends to increase its footprint to 70 acres.

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