Online grocery platform BigBasket has become the latest startup to join the country’s unicorn club after closing a $150-million funding round led by Mirae Asset-Naver Asia Growth Fund, China’s Alibaba, and UK’s CDC Group, The Economic Times reported.
Unicorn is a moniker used for privately-held startups that are valued at $1 billion or more.
The development comes less than two weeks after CDC Group, the UK’s development finance institution, announced that it has invested $40 million in homegrown grocery delivery firm. Korea’s Mirae Global Asset Investments has injected about $60 million in Supermarket Grocery Supplies Pvt. Limited (SGSPL), which owns and operates BigBasket, while existing investor Alibaba has pumped in about $50 million in the financing round, as reported by DEALSTREETASIA in March.
In 2012, CDC indirectly invested in SGSPL, through its Ascent India Fund III.
Founded in 2011, BigBasket is headquartered in Bengaluru and is present in 25 cities and towns across India. The startup sells everything from fresh leafy greens to kitchen mops, spice mixes and savoury Indian tea-time snacks.
Of the total financing raised in this round, BigBasket has allocated $100 million in capital expenditure to build infrastructure, technology and supply chain, the report said. The company targets to breakeven in the next 6-8 months once it hits the $800-million revenue run rate, it added.
Besides, the newly secured funds will also help BigBasket compete with Grofers, Swiggy, Flipkart and US-based Amazon that are aggressively pushing into the grocery retailing business.
BigBasket had completed the acquisition of three ventures — RainCan, Morning Cart, and Kwik24 — by October last year.