Bengaluru-based construction supply platform ZippMat on Thursday said it has raised $10 million (around Rs 75 crore) led by Matrix Partners India in a mix of debt and equity funding round.
The fundraise also saw participation from existing investor Zephyr Peacock, HDFC Bank and TradeCred.
ZippMat will use the fresh funds to scale its user base, digitize supply chain, innovate product and expand team.
Founded by Abhijeet Kudva and Nandeesh Hasbi in 2021, ZippMat is a platform that claims to simplify material procurement for engineering and construction companies by leveraging its extensive curated supplier and logistics network with technology-led services.
“The construction industry contributes to over 5% of our GDP. Yet, this is one of the most archaic industries with no proper solution to bridge the various communication gaps. ZippMat is building a platform to help our construction community manage their entire supply needs, from planning to order to delivery at the site. The company’s mission is to disrupt the entire supply chain and act as a one-stop shop for contractors and suppliers in the construction industry,” said Kudva, co-founder and chief executive officer, ZippMat.
"We have seen significant tailwinds of digitisation and formalisation across MSMEs in the construction space. ZippMat, with its tech-led procurement and financing solutions is enabling construction companies to grow faster than ever before while reducing costs,” said Sudipto Sannigrahi, principal, Matrix India.
Incorporated in 2006, Matrix Partners India has over the years changed from a quasi-private-equity investor to a conventional venture capital firm with a focus on tech startups.
The venture capital firm, which was started by Avnish Bajaj and Rishi Navani, had launched its first fund with a corpus of $150 million and later topped it up to $300 million. Subsequently, it raised $300 million for its second fund in 2011.
VCCircle had earlier reported that Matrix Partners India aims to raise $450 million for its fourth fund - Matrix Partners India IV, LP, according a disclosure with the US Securities and Exchange Commission (SEC).