Bengaluru-based B2B e-commerce platform Udaan has raised $114 million in a Series G funding round, led by existing investors M&G Investments and Lightspeed Venture Partners. This brings the total capital raised by the company to nearly $2 billion, positioning it for a planned public listing in 2026.
Key Highlights
- Funding Details: The Series G round was led by M&G Investments and Lightspeed, with participation from other existing and new investors.
- Valuation: The latest funding round maintains Udaan’s valuation at approximately $1.8 billion.
- Strategic Focus: The funds will be utilized to strengthen Udaan’s presence in high-volume categories such as Fast-Moving Consumer Goods (FMCG) and the HoReCa (Hotel, Restaurant, and Catering) segment.
- Private Label Expansion: Udaan plans to expand its private-label offerings, particularly in the staples category, to enhance contribution margins.
- Financial Performance: In FY24, Udaan’s revenue from operations rose by 1.7% to ₹5,706 crore, while its net loss narrowed by nearly 19% to ₹1,674 crore.
- Cost Efficiency: The company reduced fixed costs by 20% in the previous year and an additional 20% so far in 2025.
- Fintech Growth: Udaan continues to expand its fintech arm, udaanCapital, which provides working capital loans and credit products to small merchants and manufacturers.
- Corporate Restructuring: Udaan received approval from the National Company Law Tribunal to consolidate its various business entities under Hiveloop E-Commerce, simplifying its corporate structure ahead of the IPO.
Future Outlook
With the new funding, Udaan aims to deepen its category presence, particularly in FMCG and staples, and expand further into underserved markets across India. The company is also focusing on enhancing its technology infrastructure and scaling operations to support its growth trajectory leading up to the planned IPO in 2026.
