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FarMart raises funds from Swiss-based ResponsAbility Investments

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SaaS-based food supply platform FarMart has raised Rs 24 crore ($2.8) million as part of a new round from Swiss asset manager ResponsAbility Investments. The fresh investment has come after a gap of more than two years for the Gurugram-based company. FarMart will use the fresh proceeds towards building a carbon-efficient food supply chain, the company said in a press release. The startup will also leverage responsAbility’s expertise to optimise its solutions. With this, FarMart has scooped up nearly $50 million to date including a $32 million Series B round in March 2022 from General Catalyst, Matrix Partners India and Omidyar Network India. As per startup data intelligence platform TheKredible, the company was valued at around $128 million during the last equity round. Interestingly, FarMart chief claimed that the firm holds $37 million in the bank as of August last year. It’s not clear why FarMart raised a modest amount despite the above claim. FarMart’s B2B product is essentially a digitization of agricultural supplies and produce, putting buyers and sellers located near each other in touch, which it says eliminates several costs involved in transporting goods across the country. The company’s retailer footprint is currently heavy in central and northern Indian states, with relatively sparser presence in the south and Jammu & Kashmir. The company claims to work with over 2,000 food manufacturers and brands, 3 million farmers, and 400 factories in 6 countries. In March 2022, it acqui-hired fruits and vegetables logistics platform Subjimandi.app to optimize its logistics and expand its product portfolio. FarMart registered an almost five-fold jump in its operating revenue to Rs 1,033 crore in FY23 from Rs 208 crore in FY22. As per TheKredible, the company’s losses surged nearly three-fold to Rs 49 crore in FY23. The firm is yet to file its annual report for FY24. As of Series B round, General Catalyst had 17.86% stake in the company followed by Omidya and Matrix which hold 13.48% and 12.7% stake respectively. Founder Alekh Sanghera owned less than 10% holding in the company. Check TheKredible for more details.