The social commerce grocery startup has raised $393 Mn till date, standing at a valuation of $1.7 Bn
The funds secured would be used to strengthen technology and product innovations to offer seamless service to its customers
DealShare has earlier announced $165 Mn of funding in Series E in January 2022 from Tiger Global, Alpha Wave Global among others
Social commerce grocery startup DealShare has raised a fresh infusion of $45 Mn as part of its Series E funding round from a wholly owned subsidiary of the Abu Dhabi Investment Authority (ADIA).
The Bengaluru-based startup will use the latest funds to empower product innovation and technology to support its expanding customer base. The fund will also be used to hire new tech talent at all levels, said the startup.
Further, it is also eyeing international expansion in coming years as there is an immense opportunity outside India, as it said.
With this fresh infusion, DealShare’s total funding has reached $393 Mn and valuation to $1.7 Bn. It has raised $165 Mn in January 2022 as a part of its Series E funding round from Tiger Global Management, Alpha Wave Global, Dragoneer Investments Group, Kora Capital, and Unilever Ventures at an estimated valuation of $1.62 Bn.
The startup has become the fourth unicorn of 2022 with the fundraise in January this year. Its valuation has more than tripled since its last fundraise in July 2021.
Commenting on the fresh round of fundraising, DealShare’s founder and CEO Vineet Rao said, “We are thrilled to welcome ADIA as a shareholder as part of our next phase of growth. It is a testimony of the confidence in DealShare’s vision, business model, and an acknowledgment of the growth we have been exhibiting. In a span of just 3 years, we have scaled to over 10 million customers and over 100 cities across 10 states.”
Meanwhile, the Abu Dhabi Investment Authority is a sovereign wealth fund owned by the Emirate of Abu Dhabi established for the purpose of investing funds on behalf of the government of the Emirate of Abu Dhabi.
The social commerce start-up is focused on catering to 500 Mn new-to-internet and value seeking users. According to it, it offers high-quality, low-priced essentials coupled with a gamified, fun-filled, and virality-driven shopping experience, making it easy for first-time internet users to experience online shopping.
“We aim to democratise online shopping for Bharat users with unmatched service and experience by developing innovative products and tech solutions. This will be supported by building our teams across the country and hiring new tech talent at all levels,” added Rao.
DealShare, founded in September 2018 by Vineet Rao, Sourjyendu Medda, Sankar Bora and Rajat Shikhar, is focussed on bringing an online shopping experience to first-time internet users in India’s hinterlands.
The platform targets mass market population in Tier 2 and 3 towns with a monthly household income of less than INR 50,000. It has more than 3 Mn users in India across five states- Rajasthan, Gujarat, NCR, Maharashtra and Karnataka, where it is operational currently.
“India’s e-commerce ecosystem is developing rapidly, and DealShare is addressing an underserved and growing segment within it. This investment aligns with our approach of backing innovative businesses with differentiated business models to execute on their growth strategies,” said Hamad Shahwan Al Dhaheri, executive director of private equities department, ADIA.
Sharing his views on the latest fundraising, DealShare’s founder and chief business officer, Sourjyendu Medda said, “We are in touching distance of hitting $1Bn of gross revenue run rate with just 3 years in operation. We are likely to hit $3 Bn of gross revenue run rate in the next 12 months.”
The startup would also triple its geographical presence by acquiring top notch tech talent and building world class supply chain infrastructure to aid growth with continued focus on capital efficiency that would lead to profitability, Medda said, adding they are trying to achieve operational profitability by year end.
