CapGrid Nets $5 Mn To Bolster Its Manufacturing Operations

SUMMARY

The round also saw participation from existing investors Nexus Venture Partners and Axilor Ventures, along with angel investors Sunjay Kapur and Vivek Vikram Singh

The newly raised capital will help the company in reaching customers from across the globe, doubling down on its tech capabilities, while also deepening its manufacturing operations

The funding comes weeks after it raised INR 29.16 Cr ($3.3 Mn) from its extended Series A funding round by issue of CCPS

B2B manufacturing startup CapGrid Solutions has secured $5 Mn (around INR 43.4 Cr) in an extended Series A funding round led by Anicut Growth Fund.

The round also saw participation from existing investors Nexus Venture Partners and Axilor Ventures, along with angel investors from automotive systems and components manufacturer Sona Comstar’s chairman Sunjay Kapur and managing director and group chief executive Vivek Vikram Singh.

Cofounder and CEO of CapGrid Dheeraj Tiwari told Inc42 that the newly raised capital will help the company in reaching customers from across the globe, doubling down on its tech capabilities, while also deepening its manufacturing operations.

Founded in 2021 by Tiwari and Himanshu Raghuvanshi, CapGrid builds precision parts and components for various industries, including spare parts and electric vehicles (EVs). Its AI-based supply chain platform helps businesses by finding suitable partners, analysing capabilities, managing production timelines, and ensuring timely delivery of components.

The startup primarily serves original equipment manufacturers (OEMs) and Tier-I suppliers in the automotive sector.

The funding comes weeks after it raised INR 29.16 Cr ($3.3 Mn) from its extended Series A funding round by issue of compulsory convertible preference shares (CCPS).

Also, the development aligns with the growing interest of investors and global corporate giants towards India’s manufacturing startups. These investments are expected to boost the startups’ customer base across the globe as well as upscale tech operations.

For instance, ecommerce giant Amazon India pledged to invest $120 Mn (around INR 1,018 Cr) via Amazon Smbhav Venture Fund in startups that digitise consumer goods manufacturing and cater to both domestic and global demand, in December last year.

Furthermore, sources told Inc42 earlier this year about B2B manufacturing and supply chain enablement startup Groyyo, which offers an end-to-end platform to enable SMEs in apparel and textile industry to meet global demand and improve their capacity utilisation is in talks to raise about $40 Mn funding.

Updated at 12:34 PM