Bengaluru- Guragon based online grocery start-up Grofers is looking to raise $65 Million fresh funding from leading investors like Softbank & Tiger global. But the funding round will devalued 40% of Grofers valuation as per the report published by LiveMint.
However the early investor in Grofers, Sequoia Capital will not participate in this round. The online grocery platform looking for much needed funding to operate their services. The leading competitor in the space bigbasket has already raised $300 million from Alibaba.
Also the big daddy in Indian e-commerce space Flipkart & Amazon aggressively expanding their footprints into the Hyper-local space.
As of 2016, the company has raised about Rs. 235.5 million funding from investors including SoftBank and Sequoia Capital. In early 2016, Grofers reduced its workforce by ten percent and reduced its operations from 26 cities to 17 cities.
As per the research the total Hyperlocal market valuation is $1 Billion in 2017. In which Bigbasket acquire 35% market share, followed by Grofers and Amazon at 31.5% and 31.2%, respectively by March 2017.