Zodius Capital Exits OfBusiness With $100Mn Secondary Share Sale

SUMMARY

The VC firm has secured more than $100 Mn in returns on its initial $8 Mn investment in OfBusiness

Zodius’ stake was largely sold to a group of high-net-worth individuals (HNIs) and family offices

Z47, another early backer in OfBusiness, is also looking to offload stakes in the company

Zodius Capital, an early investor in OfBusiness, has reportedly marked its full exit from the B2B marketplace via a secondary share sale of around $100-120 Mn.

Zodius has secured more than $100 Mn in returns on its initial $8 Mn investment in OfBusiness in late 2016, the VC firm’s cofounder Gautam Patel told ET.

Inc42 has reached out to the company for comments on the development. The story will be updated accordingly.

“Over the past few months, Zodius has made a complete exit from OfBusiness. This is one of the biggest outcomes for them from an early investment,” the report quoted a source as saying.

The sources further added that Zodius’ stake was largely sold to a group of high-net-worth individuals (HNIs) and family offices.

In 2018, the VC firm also participated in OfBusiness’s INR 200 Cr Series C funding round which was led by Creation Investments and Falcon Edge at that time.

It is pertinent to note that Z47 (erstwhile Matrix Partners India), another early backer in OfBusiness, is also looking to offload stakes in the company.

In 2016, the VC firm made its maiden investment in the company by leading its Series A funding round. Besides OfBusiness, Z47 is also mulling to sell its stake in companies including OLA, RazorPay and DailyHunt.

These exits come at a time when OfBusiness is eyeing an initial public offering (IPO) of up to $1 Bn in the second half of 2025.

Founded in 2016 by Asish Mohapatra, Ruchi Kalra, Vasant Sridhar, Bhuvan Gupta, and Nitin Jain, OfBusiness provides raw material procurement and financing solutions to SMEs for entities operating in manufacturing and infrastructure sectors through its platform. It helps customers procure raw materials like metals, chemicals, polymers, agri commodities, petrochemicals and building materials and infrastructure sectors.

The startup has raised a total funding of about $878 Mn till date.

OfBusiness’ consolidated operating revenue surged over 25% to INR 19,296.3 Cr in FY24 from INR 15,342.6 Cr in the previous fiscal year. Meanwhile, its net profit also saw a 30% jump year-on-year (YoY) to INR 603 Cr from INR 463.2 Cr in FY23.