AgroStar raises $30 Mn led by Just Climate

Agritech startup AgroStar has raised $30 million in a funding round led by climate-focused investment firm Just Climate. The round, which comes after a gap of almost four years, also saw participation from existing backers Aavishkaar India, Bertelsmann, Evolvence India, Chiratae Ventures and Hero Enterprises.

In April, Entrackr had exclusively reported on the fresh round.

The proceeds will be used to accelerate AgroStar’s omnichannel expansion, deepen product innovation, and build AI-related capabilities for farming and crop advisory. 

Founded in 2013 by Sitanshu Sheth and Shardul Sheth, AgroStar operates a hybrid online-and-offline marketplace model serving farmers. It provides farm advisory, agricultural inputs, and technical guidance. It combines its digital platform with a network of retail touchpoints.

The firm claims to have built a distribution network of over 10,000 retail stores and a digital platform reaching over 10 million farmers. It also supports a portfolio of 200 branded inputs, including biologicals and climate-focused products. 

Agrostar has raised over $140 million to date, including $70 million Series D led by Schroders in December 2021. According to the startup data intelligence platform TheKredible, before this round, Chiratae Ventures was the largest external stakeholder, followed by Aavishkaar Capital, Accel, and Bertelsmann.

As per data from TheKredible, AgroStar reported Rs 761.51 crore in revenue in FY24. The company posted a loss of Rs 327.43 crore during the same period. Its total expenses for FY24 stood at Rs 1,088.94 crore, while net cash flow from operations was negative Rs 135.09 crore.

It competes with Ninjacart, DeHaat, and Waycool.