Udaan, India’s leading B2B e-commerce platform, has announced that it has raised $114 million in fresh equity funding as part of its Series G round led by M&G Investments and joined by Lightspeed along with a mix of existing and new investors.
The funds will be used to expand Udaan’s reach across key product segments and customer groups, especially in Fast-Moving Consumer Goods (FMCG) and the Hotel, Restaurant, and Catering (HoReCa) sector. The company is also working to enhance its private-label staples to improve profit margins.
Vaibhav Gupta, co-founder and CEO of Udaan, stated:
“Over the past three years, we have transformed the business by building cost as a capability and a competitive advantage. We’ve reduced our EBITDA burn by 40% each year and are on track for full group EBITDA profitability in the next 18 months.“
He added:
“Our hybrid model—a highly available e-commerce app plus next-gen tech-enabled sales—is now the winning benchmark for eB2B.“
Udaan is also expanding its fintech arm, UdaanCapital, which provides working capital to retailers and suppliers, forming a core pillar of its profitability strategy.
While no IPO date has been set yet, sources indicate a possible listing within the next 12 to 24 months, depending on market conditions.
Founded in 2016 by former Flipkart executives Amod Malviya (आमोद मालवीय, ಆಮೋದ ಮಾಲವೀಯ), Sujeet Kumar, and Vaibhav Gupta, Udaan has become India’s largest B2B platform, operating across 12,000+ pin codes with products including staples, medicines, fresh produce, and electronics. The company claims a 70% market share.
The company’s leadership team also includes:
Amit Lahoty, Abhilash Pillai, Atul Sharma, Chaitanya Adapa, Kiran Thadimarri, Vishnu Menon, Vignesh Ramakrishnan, and Raza Khan, who play critical roles in driving Udaan’s strategic initiatives and operational growth.
With a shift from rapid expansion to focused and efficient operations, Udaan aligns with peers like Jumbotail, ElasticRun, and ShopKirana, all aiming for sustainable growth.
So far, Udaan has raised nearly $2 billion, making it one of the most well-funded companies in the space.
