Vegrow, a technology-driven business-to-business (B2B) agritech startup specializing in fruit sales, announced on Wednesday that it has raised $46 million in a funding round led by GIC, Singapore’s sovereign wealth fund. The Series C round saw participation from existing investors, including Prosus Ventures, Matrix Partners India, Elevation Capital, and Lightspeed. The funds raised will be utilized to expand Vegrow’s presence in India and fortify its global network. This investment marks GIC’s inaugural foray into agricultural technology and B2B investments in India.
Praneeth Kumar, co-founder of Vegrow, highlighted the company’s exceptional achievement in becoming the fastest agritech company to establish a national presence within three years of inception, a feat that typically takes twice as long. Vegrow, founded in 2020 by Kumar, Mrudhukar Batchu, Kiran Naik, and Shobhit Jain, reported a fivefold increase in revenue over the past year, attaining operational profitability.
Batchu emphasized Vegrow’s distinctive approach, centered on agility and experimentation, utilizing data and technology extensively to provide valuable insights and optimize supply chain challenges. The company claims to have reduced perishable inventory wastage to one-fourth of the industry average while consistently achieving industry-leading profit margins.
Vegrow’s competitive edge lies in the depth of its multi-channel demand stack and its technology-driven demand-supply matchmaking. The company asserts that it contributes to increasing farmers’ income by accurately grading produce and aligning it with market demand.
Shobhit Jain, co-founder of Vegrow, expressed the company’s commitment to making a positive impact on farmers and the environment. Vegrow aspires to be the leader in every fruit category, ensuring transparency, higher income for farmers, and a reduction in carbon consumption through supply chain optimization.
Avendus Capital served as the exclusive financial advisor to Vegrow for the funding round.
