Decoding DealShare’s Series E round and cap table

Grocery and essentials-focused social commerce startup DealShare turned unicorn this year after its $165 million Series E financing round led by Tiger Global. The Jaipur-based company raised another $45 million to close the round at $210 million.

To understand the round details such as break-up, valuation, and its cap table, Fintrackr has sifted through the company's regulatory filings. The board at DealShare passed a special resolution to allot 54,706 Series E preference shares at an issue price of Rs 2,25,363 per share to raise Rs 1,232 crore or $165 million, regulatory filing with the Registrar of Companies (RoC) shows.

Tiger Global led the round with $39.1 million while Dubai-based ADIA, Alpha Wave, and Kora Investment pumped in $35 million, $31.3 million, and $27.7 million respectively. Along with them, DF international and Twenty Nine capital also participated with $19.6 million and $11.7 million respectively.

“The rest amount (around $45 million) was secondary through which the company gave partial exit to its early shareholders,” DealShare told Entrackr. As per Fintrackr’s estimates, the Tiger Global-backed company is valued at around $1.7-1.8 billion.

After the Series E closure, Alpha Wave has emerged as the largest shareholder in DealShare followed by WestBridge and Tiger Global. The complete shareholding pattern can be seen below:

DealShare is an inventory-led platform that manages the supply chain and logistics in bigger cities. It operates in over 150 cities across 8 states and claims to have on-boarded over 1,000 local brands and catered to over 20 million (2 crore) customers with its B2B2C platforms.

DealShare recently said that it has created over 1,000 small scale businesses in tier II and III cities in the past couple of years with the help of its community leader network (DealShare Dost). As per the company, the network is helping it to avoid brand marketing expenses and the vertical contributes close to 40% of the overall revenue.

While DealShare is yet to file its annual financial statements for FY22, the company’s revenue from operations surged by 312% to Rs 236.8 crore during FY21. Its annual losses grew by 101.8% YoY to Rs 67.03 crore during the same period. In April, The company’s co-founder Sourjyendu Medda disclosed that the firm recorded a gross revenue run rate of $1 billion in FY22 and aims to treble it to $3 billion by FY23.

In June, DealShare also increased its ESOP pool to Rs 455 crore or $60 million. The four-year-old company has raised $393 million to date.

DealShare competes with Gurgaon-based CityMall which has raised a $75 million round led by Norwest Ventures and registered Rs 14.94 crore in operating revenue in FY21. Meesho also ventured into grocery through Farmiso but the Bengaluru-based firm downscaled this vertical in the recent past.