Agritech firm Vegrow raises $46 million for India & global expansion

Agritech startup Vegrow has announced the successful completion of a “Series C” funding round, securing $46 million. GIC, Singapore’s sovereign wealth fund, led the round, a noteworthy development given the scarcity of late-stage deals in 2023.

The funding initiative also garnered support from existing investors such as Prosus Ventures, Matrix Partners India, Elevation Capital, and Lightspeed.

In an official statement, Vegrow disclosed its strategic plans for the funds, emphasizing the expansion of the startup’s presence throughout India and the fortification of its global network. Founded in 2020 by IIT alumni Praneeth Kumar, Mrudhukar Batchu, Kiran Naik, and Shobhit Jain, Vegrow operates a B2B tech platform facilitating the connection between fruit wholesalers, traders, and farmers.

The company reports a remarkable fivefold increase in revenue and attaining operational profitability.

Notably, this funding round follows the company’s earlier success in July when it raised $25 million during its Series B funding, achieving a post-money valuation ranging from $170 million to $180 million. It is worth mentioning that GIC’s participation in this round marks its inaugural investment in India’s agri-tech and B2B sectors, signifying a significant step into these domains.

Praneeth Kumar said in his official statement that Vegrow is the fastest agritech company to build a national presence, having done this within three years of its inception. He adds, typically it takes double the time to achieve this scale of operations.

Sudipto Sannigrahi, Managing Director, Matrix Partners India, said, “As the first backers of Vegrow, we have witnessed the company’s evolution from concept to category leadership in the $50 billion fruit segment… The company continues to thrive, with healthy operating profits. We have consistently increased our investments in Vegrow in every funding round and are optimistic about the company scaling to greater heights.”