Business-to-business (B2B) marketplace ProcMart, operated by Instant Procurement Services Pvt Ltd, on Monday raised $10 million (about Rs 81.6 crore) in a Series A round from Sixth Sense Ventures LLP, the sole participant in the round.
The company plans to deploy these funds to expand its international operations, strengthen vendor partnerships, and upgrade the firm’s technological and warehousing capabilities, according to a press statement.
“This financing will be crucial to increasing our geographic reach, forming effective vendor alliances, and improving our technological and warehousing capabilities. Sixth Sense has a strong track record of partnering with B2B enablers and helping them scale leveraging their ecosystem connect,” said Anish Popli, the co-founder and chief executive officer at ProcMart.
It added that the Noida-based player plans to launch white label items under the personal protective equipment category by the end of 2022.
“The Indian market is relatively nascent but poised for massive disruption given the strong manufacturing potential and growing focus on organizing non-core spends. We see ProcMart as a great opportunity to leverage this disruption in the otherwise unorganized and fragmented maintenance, operations and overhaul (MRO) industry in India,” Nikhil Vora, the founder and CEO of Sixth Sense Ventures said.
The company last raised an undisclosed sum in a seed round led by Indiamart’s chief executive officer Dinesh Agarwal in January 2016, who has now partially exited ProcMart.
“Basis the amount invested by the Sixth Sense Ventures, they wanted a higher stake in ProcMart in comparison to IndiaMart. The shareholding stake in the company is directly proportional to the amount invested by the investors. Therefore, IndiaMart was required to partially exit from the deal,” the firm told VCCircle.
Founded in 2015 by Popli, Pratik Potnis and Saheel Joshi, ProcMart provides a platform where buyers can share their requirements and sellers can post quotes. It provides a marketplace for bulk procurement of office furniture and equipment.
It has 13 offices in India and one in Malaysia. Some of its key offerings include purchase order management, contract administration, master data management, e-catalog management, compliance tracking, sourcing support, market intelligence, among others.
In April 2021, B2B marketplace ElasticRun raised $75 million in a Series D financing round co-led by existing investors Avataar Ventures and Prosus Ventures, along with the participation of Kalaari Capital.