Udaan raises $120 mn amid funding winter; plans IPO in 12-18 months

Business-to-business e-commerce firm raises capital from existing investor, was valued at $3.1 billion in January 2021

Udaan has raised $120 million in convertible notes and debt from shareholders and bondholders, said India’s largest business-to-business e-commerce firm amid a funding winter for start-ups.

Financing for Udaan, which plans an IPO in the next 12-18 months, has crossed $350 million in the last four quarters, making it one of the largest structured instrument fundraises in the country, according to an internal company letter.

Bengaluru-based Udaan's existing investors include Microsoft, Lightspeed Venture Partners, M&G Prudential, Kaiser Permanente, Nomura, TOR, Arena Investors, Samena Capital and Ishana Capital.

“Despite the funding-related challenges being experienced by the larger start-up ecosystem, this fundraise