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B2B e-commerce and supply chain enablement platform Bizongo has raised a $110-million Series D round from New York-based Tiger Global Management.
The series D round also saw the participation of investors like CDC, IFC EAF, BCap, Chiratae Ventures, Schroder Adveq, IFC and Add Ventures by SCG. Manish Choksi, a member of Bizongo’s Advisory Board and the Vice-Chairman at Asian Paints, also invested in his personal capacity in the round.
Bizongo aims to clock $500 million annualised revenue by FY23
With the latest round, Bizongo’s valuation has touched $600 million. Founded by three IIT graduates Aniket Deb, Ankit Tomar, and Sachin Agrawal, Bizongo aims to digitise the fragmented B2B segment of made-to-order goods.
The company has also launched an IoT-powered ‘cloud factory’ for made-to-order goods. This SaaS based solution will enable manufacturers to provide their customers with real-time visibility, control, and intelligence across the entire supply chain. This technology has been piloted with pharmaceutical packaging manufacturer Ansapack.
Number of B2B tech start-ups that raised funds hit 2-year low in 2020
The B2B tech company recorded an 8X growth in its top line from its pre-pandemic scale, clocking an ARR of $250 million in November this year. The growth is also associated with strong unit economics and positive cash flow as the company is now EBITDA profitable. Bizongo has made its operating model inventory-free, further strengthening the capital efficiency of the business.
Digitising vendor ecosystem
Sachin Agrawal, Co-founder at Bizongo, said, “There is a lot of untapped potential in the way Indian businesses can leverage technology to grow and thrive. Bizongo offers solutions across digital vendor management, supply chain automation and supply chain financing to its enterprise customers. It enables them to digitise their entire vendor ecosystem and build integrated and connected supply chain processes. We are very proud of the grit and resilience the team has demonstrated over the past few years. We are now fully geared to sustainably grow the business by at least 300 per cent year-on-year from here on.”
The company will deploy the fresh funds in ramping up its business and tech teams to develop a suite of digital services for both sides of the marketplace. It will also invest in nurturing its vendor partnerships and plans to transform over 100 factories into cloud factories through its proprietary solutions. The tech company recently launched an online bidding platform for real-time seller and price discovery. It is also expanding its digital supply chain financing (SCF) platform in partnership with banks and NBFCs.
John Curtius, Partner at Tiger Global, said “The market for customised goods is the fastest-growing segment in B2B e-commerce. At a size of $500 billion, this market is vast yet highly fragmented and unorganised. We found Bizongo very unique in the way they have been building a transaction-led platform with a tech-first vs a trade-first mindset. The full-stack approach with an asset-light operating model makes Bizongo stand out as a market leader in this segment.”
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