One of the widely known Indian startups in construction materials, Infra.Market, has raised Rs 150 crore through debt financing recently, driven by Yubi, a large financial transaction-driven platform. This round comes big for Infra.Market as it continues the expansion drive, building muscle in the Indian and global markets.
PC: Business Standard
Founded in 2016 by Souvik Sengupta and Aaditya Sharda, Infra.Market was formed to change the way technology works in the procurement cycle of the construction industry. This platform gives a huge range of construction materials under one roof, such as concrete, steel, pipes and fittings, plywood, laminates, and tiles, under its own brands like Infra.Market, IVAS, Shalimar Paints, and RDC.
As such, InfraMarket has shown great growth over the last couple of years. Although its revenue grew to Rs 11,846 crore in FY23 from Rs 6,236 crore in FY22, profit marginally fell from Rs 186 crore to Rs 155 crore, which is a steep fall. Clearly, this growth points at the ever-escalating demand for construction material in India and the efficiency of the business model of Infra.Market.
The latest round of debt financing, led by Yubi, will help Infra.Market further scale its operations with the much-needed capital. Yubi, formerly known as CredAvenue, is a big platform that connects enterprises to lenders for a range of products, from term loans and working capital loans to structured finance solutions.
This Rs 150 crore funding would provide a fillip to Infra.Market’s expansion plans. The company is looking at various measures that would help strengthen its product portfolio and significantly scale domestic and international operations, respectively. Over the past few years alone, it has expanded its footprint in some global markets such as Dubai, Singapore, and Italy, based on its sound supply chain and technology capabilities.
The funds shall be majorly used to increase the operational capacity and market reach of Infra. Market, investing in new verticals and fighting those already existing ones to give satisfaction toward the broad base of needs that exist in the construction industry. It also targets using the funds to create efficiency in the supply chain, ensuring the clients timely get quality construction materials.
Growth at Infra.Market has been driven by a strategic focus on technology-driven solutions. Standardization and digitization of the procurement process have aided the firm in delivering seamless experiences to its customers, ranging from large construction firms to small retail outlets. This has also enabled the maintenance of competitive pricing and high-quality standards at Infra.Market, thereby consolidating its lead in the market.
A bout of fresh capital means that Infra.Market stands to be in a prime position, poised to ride the growing demand for construction materials within India and beyond. Emphasis by the Indian government on infrastructure development—especially through initiatives such as the National Infrastructure Pipeline—presents great opportunities for a firm like Infra.Market. Unless the ability of the company to respond during market dynamics and its innovativeness come to play, further growth is likely to be driven in the coming years.
Furthermore, Yubi’s investment brings not only financial support but also strategic insight and access to an expanded network of financial institutions. This partnership will likely bring about better financial stability and operational capabilities to Infra.Market, realizing its long-term vision of transforming the construction materials supply chain globally.
The latest debt financing round, led by Yubi Co., is another major step toward making Infra.Market a global leader in the construction materials industry. Fueled by its robust business model, strategic capital deployments, and transparent focus on innovation, Infra.Market seems to hold immense promise for future growth within the highly kinetic regime of construction.
