Besides, the capital will be used to expand business to Southeast Asian and Middle Eastern countries
In 2022, the startup raised 4 Mn in equity in a seed funding round led by Prime Venture Partner, along with Zephyr Peacock
Founded by Shashank Singh and Bhuvnesh Gupta in 2020, Poshn offers full-stack services for wholesale commodities trading
Agritech startup Poshn has raised $4 Mn (around INR 33.3 Cr) in equity and $2 Mn in debt in a pre-Series A funding round co-led by Prime Venture Partners and Zephyr Peacock India.
The New Delhi-based startup will deploy the fresh proceeds to build more of its solutions that address the gaps in the system. Besides, the capital will be used to expand business to Southeast Asian and Middle Eastern countries.
With this round, the company claims to have raised $8 Mn in total equity funding.
Founded by Shashank Singh and Bhuvnesh Gupta in 2020, Poshn offers full-stack services for wholesale commodities trading. It offers a tri-party commerce platform where wholesale buyers can purchase from millers and stockists. It aims to organise the agri-supply chain by making wholesale trading seamless.
Singh said, “Poshn has already cemented its position in the wholesale segment over the last three years. With the trust of investing partners and infusion of fresh equity, we aggressively integrate forward and backward in the chain and open foreign/export markets over the next 12 months while growing profitably.”
“Poshn has led by being a supply-first company and has meaningfully solved for the B2B food value chain. The company has always been bottom-line focused with a remarkable ROCE and wants to continue expanding that further by going deeper into the supply chain while also pursuing some full-stack vertical integrations. We believe Poshn will be a category-defining company in the coming years, and we are excited to be their partners from day zero,” Prime Venture Partners said in a statement.
Poshn claims to be profitable and said that it has a presence in more than 16 states in India. The company said it has logged a six-fold increase in revenue from FY22 to FY24.
In 2022, the startup raised 4 Mn in equity in a seed funding round led by Prime Venture Partner, along with Zephyr Peacock.
Additionally, it has partnered with Banks & NBFCs like ICICI Bank, Alteria Capital, UCIC, Northern Arc, Blacksoil and Capsave for its debt requirements.
Poshn competes against the likes of Eeki Foods, AGRIM, Arya.Ag and WayCool.
The Indian agritech sector has been gaining attraction from investors for quite some time now.
For instance, in February this year, agritech startup Farmtheory secured seed funding of $1.45 Mn (around INR 12 Cr) from Merak Ventures.
Last year, another agritech startup Fasal raised Series A funding of INR 100 Cr ($12 Mn) led by TDK Ventures and British International Investment (BII).
According to Inc42, the Indian agritech sector secured more than $2.4 Bn in funding in 285 deals between 2014 and February 2024.
As of 2022, the Indian agriculture market was valued at $435.9 Bn and is expected to reach $580.82 Bn by 2028, growing at a CAGR of 4.9% during this period.
