Funding · Commerce & Consumer Brands

OfBusiness raises $325 million at $5 billion valuation

By Startup Enthusiast · 20 December 2021

What they do

OfBusiness runs a B2B platform for sourcing raw materials and bidding on government tenders

It raised $325 million in Series G funding led by Alpha Wave, Tiger Global and Softbank Vision Fund 2

The round included a $140 million secondary sale, giving early investors and ESOP holders a partial exit

OfBusiness raised $325 million in a Series G funding round.
The round was led by Alpha Wave Ventures II, Tiger Global Management and Softbank Vision Fund 2.
Other participants included Norwest Venture Partners, Matrix Partners India, Zodius Technologies, Pantherea Growth Fund and Marshall Wace.
The company's valuation rose to approximately $5 billion.
The round included a $140 million secondary sale (existing shareholders sell their shares; no new money reaches the company).
Early investors Zodius Tech, Matrix India and Creation Investments partially exited through the secondary sale.
About 80 ESOP holders also liquidated part of their holdings.

OfBusiness's valuation jumped over 6X in the past eight months, from $800 million in April 2021 to $5 billion now.
The company has been profitable for the last four fiscal years.
Its operating revenue grew 2X to ₹1,748 crore in FY21, while profit rose 72% to ₹55.7 crore.

OfBusiness is a B2B platform for sourcing raw materials and bidding on government tenders.
It operates in metals, chemicals, apparel and food processing categories.
The company has 4,500+ suppliers in metals, 1,800+ in chemicals, 2,600+ in apparel and 21,000+ in food processing.
It runs 5 manufacturing units in metals, 5 in chemicals, 34 in apparel and 6 in food processing.
OfBusiness also offers short-term financing for raw materials through its NBFC Oxyzo Financial Services.
Its technology platform BidAssist aggregates 2,000+ tender sources and lists 13,000+ daily tenders.
The company has delivered 1 million+ orders and empowered 1.5 million+ SMEs.
It reaches 26 states in India and serves 70+ countries.

Product: Marketplace platform connecting SMEs to commodities including steel, metals, chemicals, agricultural products, textiles; includes financing and supply chain services
Customers: Small and medium enterprises seeking streamlined access to commodities, financing, and logistics
How it makes money: B2B marketplace model with commission on transactions and financing services
What sets it apart: Diversified vertical portfolio including apparel exports to top global retailers; operates across 75 countries