Grofers has wrapped up a $120 million (Rs.800 crore) funding led by Japan’s SoftBank, thus taking the ecommerce stores to a valuation of $400 million. Other investors included Apoletto Asia, the personal investment vehicle of DST Global’s partners, Russian billionaire Yuri Milner, along with existing backers Tiger Global Management and Sequoia Capital India, according to Grofers CEO Albinder Dhindsa.
This was the third fund raise this year by the ecommerce player, which marked marks an over three-fold increase in the company’s valuation in a span of approximately four months. In July Grofers was valued at $115 million whilst in February, the valuation was $33 million. Whilst the company will strengthen its delivery chain the supply chain will also get focus, “We have to make investments in the supply chain, which we will now do with a longer-term view,” Dhindsa stated. Grofers, largely sources its groceries from the local neighborhood stores and delivers the same. It has thus far approximately 10,000 merchants on this roster with a presence in “26 cities and counting”.
Currently the Gurgaon-based hyperlocal delivery start up plans to consolidate its operations in existing cities, with a slow expansion to newer cities.