MogliLabs, based out of Noida, owns and operates B2B industrial goods marketplace Moglix, has secured $60 million (approx ₹412 crore) in its latest funding round led by Tiger Global Management and Sequoia Capital.
The company will primarily use the proceeds to ramp up infrastructure.
The round, which also comes about seven months after it closed its $23 million Series C round, values the company at about $200 -300 million, doubling what it commanded last time, according to sources.
“India has a complex economy and infrastructure. A number of the country’s startups, along with the government, are actually building the backbone of the company…We are living at a positive time, and the efficiencies that have being dedelivered in consumer commerce, will also come to B2B commerce,” Rahul Garg, chief executive, Moglix, said.
Moblix is an Asia-based e-commerce company intensively inclined towards B2B procurement of industrial supplies, in particular, MRO, Safety, Electricals, Lighting, Cleaning & Housekeeping, Office Stationary & Supplies, Power Tools and many more industry essentials.
“We will be investing heavily in infrastructure, warehousing, logistics. We will be building fulfillment centres and warehouses, and establish operations at these locations. Today, we are sitting on 75,00 square feet of warehousing, and will get to 200,000-250,000 square feet in the first phase,” Garg further said.
The Moglix investment is the latest one by New York-based Tiger Global, which has been amongst the most active risk capital investors in India over the course of 2019, after a three-year period which saw it stay away from Asia’s third-largest economy.
“We are excited to partner with Moglix, which is rapidly transforming procurement services for India’s B2B market. As an industry leader with a strong management team, Moglix is poised for continued strong growth,” Scott Shleifer, partner at Tiger Global Management, said.
Moglix is currently present in 14 locations, and plans to be in 22-25 industrial hubs.
The Indian indirect purchase market is currently worth $50 billion-plus and is estimated to grow to $100 billion by 2025.
Some of the significant players in the similar domain includes industrybuying, Tolexo, Industryarc, HodExo, and many more.