Matrix-backed agritech firm Vegrow raises $46 mn in Series C funding led by GIC

Founded in 2020 by IIT alumni Praneeth Kumar, Mrudhukar Batchu, Kiran Naik and Shobhit Jain, Vegrow offers a B2B tech platform for fruits and connects wholesalers and traders with farmers.

Agritech startup Vegrow, on December 13, said it raised $46 million in a Series C funding round led by GIC, Singapore’s sovereign wealth fund, in contrast to the low number of late-stage deals in 2023.

In a statement, the company said that the funding round also saw participation from existing investors Prosus Ventures, Matrix Partners India, Elevation Capital and Lightspeed. The company said it will use the fund to expand Vegrow’s reach across India and strengthen its global network.

Founded in 2020 by IIT alumni Praneeth Kumar, Mrudhukar Batchu, Kiran Naik and Shobhit Jain, Vegrow offers a B2B tech platform for fruits and connects wholesalers and traders with farmers. The company claims to have had a fivefold increase in revenue and achieved operational profitability.

“Vegrow is the fastest agritech company to build a national presence, having done this within three years of its inception. Typically, it takes double the time to achieve this scale of operations,” said Kumar, in the statement.

Earlier in July, the company raised $25 million as part of its Series B funding at a post-money valuation of $170-$180 million. The new round marks GIC’s first agri-tech and B2B investment in India, the company said.

"As the first backers of Vegrow, we have witnessed the company's evolution from concept to category leadership in the $50 billion fruit segment… The company continues to thrive, with healthy operating profits. We have consistently increased our investments in Vegrow in every funding round and are optimistic about the company scaling to greater heights,” said Sudipto Sannigrahi, Managing Director, Matrix Partners India.