Bangalore based B2B E-Commerce marketplace Udaan has raised $280 million in additional financing. The capital comes from existing investors Lightspeed Venture Partners, DST Global, GGV Capital, Altimeter Capital, and Tencent. New investors coming on board after this round are Octahedron Capital and Moonstone Capital.

The capital raise is a continuation of the startup’s series D funding round that was initiated in 2019 where Udaan had raised $ 585 million. With the latest round of funding Udaan has raised a total of $1.15 billion. The company’s valuation after the current fundraise remained undisclosed.

Founded in 2016, Udaan is a B2B platform that solves core trade problems for small, medium and large businesses across India. It enables retailers and businesses to source merchandise from manufacturers, brands, white labels, importers etc. on a single platform.

Speaking about the funding, Amod Malviya, Co-Founder, Udaan said, “COVID-19 has accelerated the already fast digital-led evolution of highly fragmented and unorganised Indian trade retail industry. Udaan is at the forefront of this uniquely Indian ecommerce opportunity, emerging in the last four years as one of the largest ecommerce platforms in India.” He further said,

With the fresh infusion of funds Udaan intends to work towards the expansion of selection of products and categories, furthering user experience, enhancing technology platform, expanding SME financing capabilities and reinforcement of the supply chain infrastructure.

Malviya further added, “Participation of existing and new investors in this financing highlights the increasing recognition of capital markets of this unique nature of the Indian market, and the opportunity it offers. It also reflects the long-term truly transformative and fundamental value creation potential that Udaan platform offers.”