IndiaMART-Backed ProcMart raises $10 million in Series A funding led by Sixth Sense Ventures
ProcMart, a B2B procurement platform situated in Delhi NCR, has raised $10 Mn (INR 81.86 Cr) from Sixth Sense Ventures in its Series A funding round.
The supply chain startup backed by IndiaMART intends to use the money for worldwide growth, fortifying vendor alliances, and modernising its technology and warehousing capabilities. ProcMart aims to hit the Rs 1,000 crore-revenue mark in the next three years. The development comes just days after Tradezeal Online, a wholly owned subsidiary of IndiaMART, agreed to sell shares of ProcMart worth Rs 13.62 crore to Sixth Sense Ventures.
ProcMart is an enterprise-focused MRO (maintenance, repair, and overhaul) supply chain aggregator that was founded in 2015 by IIM Lucknow graduate Anish Popli. It links numerous stakeholders from various industries and supply chain levels to assist them in choosing the best procurement solutions.
Purchase order management, contract administration, data management, e-catalogue management, compliance tracking, sourcing support, market intelligence, tail spend management, and other services are provided by ProcMart. Numerous companies, including Colgate, Mondelez, Harman, Dana, and Vedanta, are among ProcMart’s clients.
ProcMart reported revenue of INR 39.06 Cr in FY21 and a profit after tax of INR 1.08 Cr, an almost 3X increase year over year, according to Tofler, even though the firm has not yet submitted its FY22 financial figures. ProcMart stated in September 2022 that it will generate INR 1,000 Cr in total revenue by 2025.
The firm claims that MRO is a business worth $650 billion worldwide and $18 billion in India, with growth surpassing that of the manufacturing sector. The B2B firm has received funding from Sixth Sense Ventures because they think ProcMart can take advantage of the developing unorganised and fragmented MRO market in India. The startup competes in the B2B procurement sector with companies like Udaan, SOLV, ShakeDeal and more.
“With consistent growth and profitability over the past few years, ProcMart has emerged as a strong player providing an end-to-end digital ecosystem for indirect procurement to leading MNCs and domestic enterprises. This financing will be crucial to increasing our geographic reach, forming effective vendor alliances, and improving our technological and warehousing capabilities,” said Anish Popli, Founder and CEO of ProcMart.
“Sixth Sense Ventures has a strong track record of partnering with B2B enablers and helping them scale leveraging their ecosystem connect. We are excited to have them partner with us as we embark upon the next leg of growth,” he added.
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