ReshaMandi, a business-to-business marketplace for silk products, has initiated a new funding round led by its existing backer. The fresh funds has come after a gap of eight months for the Bengaluru-based startup.
Reshamandi’s board has passed a special resolution to allot 4,752 series A1 compulsorily convertible cumulative preference (CCPS) shares at issue price of Rs 2,44,625.60 per share to raise Rs 116 crore or around $15 million from Creation Investments, regulatory filing with the Registrar of Companies shows.
In October 2021, it had raised $30 million in Series A financing round. So far, it has accumulated nearly $47 million across three financings including $1.7 million seed funding in March last year.
Reshamandi will use this fund for expansion and growth, the company added in the filings.
As per Fintarckr’s estimates, the company has been valued at around $186 million after the allotment of this round. The new tranche appears to be part of the larger funding round.
Founded by Mayank Tiwari and Saurabh Kumar Agarwal, Reshamandi offers crop advisory (along with hardware IoT devices) to silk farmers, raw materials along with design inputs to weavers and connects them to mills and retailers.
In October, ReshaMandi had said that it plans to establish itself in major weaving clusters like Varanasi, Salem, Kanchipuram, Maheshwar and Dharmavaram and it will also extend its retail footprint into Agra, Kota, Gorakhpur, Ranchi, Pune and Visakhapatnam among other cities.
According to its website, it has a network of more than 50,000 farms, 4,000 active silk reelers, 5,000 fabric mills and weavers and has deployed over 100 Internet of Things (IoT) devices.
In its first full fiscal year of operation (FY21), Reshamandi had churned significant topline. The company’s operating revenue stood at Rs 20.5 crore, according to the financial statements filed with RoC for the year ending March 2021. Meanwhile, its losses stood at Rs 2.14 crore during the same period.
