Tractor Junction raises $22 Mn led by Astanor

Tractor-focused marketplace Tractor Junction has raised $22 million in a funding round led by Astanor, with participation from Info Edge and Omnivore. 

The round comprised $17 million in equity and $5 million in debt. The company has now raised about $28 million to date, including a $5.7 million seed round in April 2022.

The fresh capital will be used to expand its vehicle, services and financing offerings in rural India, strengthen partnerships with sellers, OEMs and dealers, and broaden its digital and physical footprint. 

Tractor Junction, which operates a marketplace for buying, selling, financing and insuring new and used tractors, farm equipment and rural commercial vehicles, combines an online platform with a network of physical dealers.

Its fintech arm, FINJ, launched in January 2024, has disbursed over Rs 1,500 crore in partnership with 25 lending institutions. FINJ uses technology and data-led underwriting to offer credit at interest rates up to 30% lower than the unorganised market.

According to TheKredible, the company’s operating revenue grew over 70% to Rs 106.43 crore in FY25 from Rs 62 crore in FY24, while losses widened to Rs 9.08 crore from Rs 3.67 crore. 

Tractor sales accounted for nearly 80% of FY25 revenue, while financial services grew tenfold and the used vehicle business expanded 1.8 times, supported by 65 COCO outlets across Rajasthan, Madhya Pradesh and Maharashtra.

The company now operates COCO stores across 75 cities in six states.