ElasticRun has closed a funding round of $330 million led by SoftBank Vision Fund 2 and Goldman Sachs Asset Management at a valuation of $1.5 billion, the business-to-business e-commerce platform confirmed on February 17, making it the seventh unicorn of 2022.
The latest round also saw participation from Chimera and Innoven along with long-term investor Prosus Ventures. The company has together raised about $460 million till date.
Moneycontrol was the first to report last week about ElasticRun turning a unicorn, a private company valued at a billion dollars or more.
Founded by Sandeep Deshmukh, Shitiz Bansal and Saurabh Nigam in 2016, ElasticRun helps kirana or neighbourhood stores source goods and working capital from large FMCG brands. Its provides analytics, aggregation and offers delivery to small towns as well.
The company will use the investment to expand its rural reach and expand credit facilities for retailers, the company said in a statement.
Sandeep Deshmukh, ElasticRun co-founder and CEO, said, “We are proud of the transformational impact of our business, which has empowered rural store owners and consumers across the length and breadth of the country. Through the pandemic, our robust logistics and channel framework ensured uninterrupted supply and support to our rural kirana partners. We have been growing at a rapid pace and are consistently expanding our store network across India.”
ElasticRun estimates that sales in kirana stores across rural markets would grow to $600 billion over the next five years.
The platform provides more than 300 brands with actionable insights by unlocking data about rural commerce, the company said.
“We have always been excited to back founders who provide unique solutions for the local market. With its deep reach in rural India and tech-led platform, we believe ElasticRun is well-positioned to unlock the next wave of e-commerce,” Narendra Rathi, Vice President, SoftBank Investment Advisers, said. “We have been closely tracking the company and have been impressed by their growth, focus on unit economics and value creation for kirana store partners and brands.”Mamaearth, Fractal Analytics, Dealshare, LEAD School, Darwinbox, and Livspace are the other companies to have turned unicorn this year.