OfBusiness secures Rs 100 crore funding as it preps for 2025 IPO

OfBusiness, having raised over $650 million in prior rounds, secured Rs 100 crore from Cornerstone Ventures as part of its $200 million second fund, following a $325 million round that valued the company at $5 billion

OfBusiness, a prominent industrial goods and services procurement platform, has raised Rs 100 crore (approximately $11.7 million) in a new funding round led by Cornerstone Ventures. The latest investment comes as the company prepares to launch its Initial Public Offering (IPO) in the second half of 2025.

The funding marks a significant milestone for OfBusiness, which has raised over $650 million in previous rounds. Notably, the company secured $325 million in a funding round led by Alpha Wave, Tiger Global, and SoftBank, bringing its valuation to $5 billion. The recent investment from Cornerstone Ventures is part of its $200 million second fund, which saw its first close in January 2025 with $40 million and aims for a second close by the end of the year.

OfBusiness sees strong growth in SME sector

The capital raised will be directed toward accelerating digital adoption and enhancing financing access for small and medium enterprises (SMEs) in India, an area where OfBusiness has made significant strides. The company offers procurement and financing solutions to SMEs in the manufacturing and infrastructure sectors through its digital platform.

Founded in 2016 by Asish Mohapatra, Ruchi Kalra, Vasant Sridhar, Bhuvan Gupta, and Nitin Jain, OfBusiness has emerged as a leading player in its niche. According to startup data platform TheKredible, major investors include Alpha Wave (with a 19.16% stake), Creation Investment, and Matrix Partners. Other key stakeholders include SoftBank, Norwest, and Tiger Global.

For the fiscal year ending March 2024, OfBusiness reported a 25.8% increase in revenue, reaching Rs 19,296 crore, up from Rs 15,343 crore in FY23. Additionally, its profits grew by 30.2%, totaling Rs 603 crore for the same period.

OfBusiness competes with companies like Zetwerk, Infra.Market, and Moglix, with the latter two recording revenues of Rs 14,530 crore and Rs 4,964 crore, respectively, in FY24.