Weekly Rundown: Snapdeal files for IPO; Razorpay, Zepto see 2X jump in valuation

E-commerce platform Snapdeal filed for an initial public offering (IPO) on Tuesday, with which It aims to raise Rs 1,250 crore by issuing new shares while several of its investors including SoftBank, Sequoia Capital India and Foxconn plan to sell up to 3,07,69,600 shares.

Snapdeal, which primarily focuses on non-urban regions, will invest Rs 900 crore of the issue proceeds to finance organic growth initiatives and the rest for general corporate purposes.

The week saw payment gateway Razorpay and quick commerce startup Zepto achieving 2X jump in their valuations.

Razorpay secured $375 million, taking its valuation to $7.5 billion, an over 2X jump from the last $3 billion valuation. The Series F round is also one of the fastest increases in valuation for an Indian unicorn this year.

Razorpay was valued at $1 billion in October 2020 and $3 billion in April 2021. With the Series-F round, the fintech major has raised a total of $740 million in investments since its inception in 2014.

Co-led by Lone Pine Capital, Alkeon Capital and TCV, the Series-F fundraise also saw participation from existing investors like Tiger Global, Sequoia Capital India, GIC and Y Combinator.
Five-month-old ecommerce startup Zepto secured $100 million in a Series C round led by Y Combinator's Continuity Fund at a valuation of $570 million, a 2X jump from its valuation nearly 45 days ago when it had bagged $60 million.

New and existing investors including Glade Brook, Nexus, Breyer Capital, Lachy Groom, Global Founders Capital, and Contrary Capital participated in the round.

B2B e-commerce platforms Bizongo and Jumbotail raised large funding rounds too. Bizongo, which digitizes the massively fragmented B2B segment of made-to-order goods, secured $110 million in a Series D round led by Tiger Global Management at a $600 million valuation.

Jumbotail raised $85 million in a Series C funding round led by Artal Asia Pte. Ltd., an affiliate of Invus, a global equity investment firm with over $10 billion of evergreen capital under management.

Jumbotail claims to connect nearly 2,000 FMCG and staple brands and sellers to 150,000 kirana stores across 38 cities and towns in India via its full stack e-commerce model consisting of its B2B e-commerce marketplace platform and its industry leading warehousing and logistics supply chain network.

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