B2B e-commerce platform OfBusiness raises $325 mn at $5 bn valuation – Business Standard

B2B e-commerce platform OfBusiness raises $325 mn at $5 bn valuation – Business Standard

OfBusiness, a Delhi-based startup that sells industrial goods online and provides financing, has raised $325 million in a funding round led by Alpha Wave Ventures II, Tiger Global Management, and SoftBank Vision Fund 2. It was valued at nearly $5 billion.

The company said its B2B e-commerce revenue run rate is over $1.7 billion and SME loan book is more than $360 million in size. OfBusiness finances small businesses through its shadow-banking arm ‘Oxyzo Financial Services’.

OfBusiness has registered a six-fold rise in its valuation in months since it was valued at $800 million in April in a funding round. In June, the company turned unicorn when it closed a $160 million funding round led by SoftBank Vision Fund 2 at a valuation of around $1.5 billion.

OfBusiness’s operating revenue grew 2X to Rs 1,748 crore in FY21 as compared to around Rs 850 crore in FY20, according to Entrackr. Around 85.47 per cent of this income came via sale of industrial goods and raw materials. Its sales have ballooned 2.2X to Rs 1,494.1 crore in FY21 as compared to Rs 665.6 crore in FY20.

OfBusiness, in a statement about the series G funding round, said its e-commerce revenue will grow fourfold year-on-year in FY22.

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

Source: https://www.business-standard.com/article/companies/b2b-e-commerce-platform-ofbusiness-raises-325-mn-at-5-bn-valuation-121122001247_1.html

E-commerce