Infra.Market Secures $50 Million from MARS Unicorn Fund to Fuel Global Expansion

Construction technology unicorn Infra.Market has successfully raised $50 million (INR 390 Cr) in an additional funding round from the MARS Unicorn Fund, managed by Liquidity Group and Mitsubishi UFJ Financial Group.

Strategic Funding to Boost Global Presence

This recent investment increases the MARS Unicorn Fund’s total investment in Infra.Market to $100 million, following a $50 million infusion in June 2022. The funds will be utilized to expand Infra.Market’s reach into new global markets and enhance its product portfolio. Currently, the company exports its products to countries such as Dubai, Singapore, and Italy.

“We are seeing growth opportunities as we are rapidly expanding our product portfolio and market presence. The launch of new verticals will help us seed newer markets and create a best-in-class construction materials company out of India,” said Infra.Market’s founder, Souvik Sengupta.

Recent Financial Moves and Company Background

This development follows a report from Inc42 three months ago indicating that Infra.Market is planning to raise $60 million in debt over several tranches in the upcoming months. Additionally, the company secured $12 million in debt from SK Finance in January.

Founded in 2016 by Souvik Sengupta and Aaditya Sharda, Infra.Market manufactures construction materials under its private-label brands. It operates across B2B, retail, and B2C networks and leverages technology to digitize the procurement process. Infra.Market’s product range includes concrete, AAC blocks, steel, pipes and fittings, MDF, plywood, laminates, tiles, bath fittings, and sanitary ware, marketed through brands like IVAS, Shalimar Paints, and RDC.

Market Context and Future Prospects

The funding comes at a time when there is a heightened focus on infrastructure projects in India, driven by the National Infrastructure Pipeline (NIP). The NIP plans to invest over $2 trillion in various infrastructure projects in the coming years.

For the financial year 2022-23 (FY23), Infra.Market reported an operating revenue of INR 11,846.5 Cr, marking a 90% increase from FY22’s INR 6,236.3 Cr. Despite this revenue growth, the company’s net profit declined by 17% to INR 155.2 Cr from INR 185.9 Cr in the previous fiscal year, primarily due to a significant rise in depreciation and amortization expenses, which increased over fivefold to INR 178.7 Cr.

With the latest funding from the MARS Unicorn Fund, Infra.Market is well-positioned to enhance its global footprint and expand its product offerings. As the company continues to leverage its technology-driven procurement process and capitalize on the growing infrastructure investments in India, it is poised to establish itself as a leader in the construction materials industry.

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