Infra.Market, a Mumbai-based B2B online procurement marketplace for real estate and construction materials, with technology as their focal point, on Tuesday announced it has raised $3.5 million in seed round from Accel Partners.
Founded in 2016 by Souvik Sengupta and Aditya Sharda, the company intends to use the funds to expand its product line in order to fulfill its aim to become a one-stop B2B ecommerce platform. Currently, the firm is generating a monthly revenue of $2.50 million, and aims to grow up to $10 million.
Commenting on the investment, Prashanth Prakash, Partner, Accel, said,
“Infra.Market aims to revolutionise the age-old construction sector through its full-stack tech driven approach. The company is ideally positioned to power the offline-to-online procurement in the construction industry in the country in the coming years. Creating value to customers in an age old traditional construction market is one of the hardest and unique problems to solve, and we believe Infra.Market has the right team to solve this problem.”
Accel Partners has been active in the B2B space with investments in companies such as Moglix, Power2SME, and NinjaCart.
Infra.Market has built a centralised online market for real estate and construction materials to offer fair pricing and an enhanced technology experience to its clients. It does this by aggregating clients’ demands, matching them with its supply chain, and offering economies of scale on material pricing, along with affordable credit options.
The company is also concentrating on expanding to other cities. It has already expanded to Bengaluru and Pune, and is targeting more cities for growth. By March 2020, Infra.Market expects to be operational in at least five cities.
In a statement, the company said the construction sector in India is estimated to be a $150 billion industry contributing to nine percent of India’s GDP. The real estate and construction sector in India is expected to be the third-largest globally by 2030, contributing over 15 percent to Indian GDP, according to a report jointly released by NAREDCO and KPMG.
The market size is expected to grow to $1 trillion in 2025, making it the third largest globally, it added.
In October 2018, Infra.Market had received $1 million from angel investors.