Social e-commerce start-up DealShare announced it has raised another $45 million as part of its Series E funding round from a wholly-owned subsidiary of the Abu Dhabi Investment Authority (ADIA), taking the company’s total funding to $393 million and valuation to $1.7 billion.
The company will use the Series E funding for product innovation and technology for further expansion.
DealShare caters to 500 million new-to-internet and value-seeking users. The company said it offers high-quality, low-priced essentials coupled with a gamified, fun-filled, and virality-driven shopping experience, making online shopping easy for first-time internet users.
Commenting on the fresh round of fundraising, Vineet Rao, Co-founder and CEO of DealShare, said, “We are thrilled to welcome ADIA as a shareholder as part of our next phase of growth. The support that we have been receiving from the investor community is very encouraging. 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 three years, we have scaled to over 10 million customers and over 100 cities across 10 states.”
“We will be utilising the funds from our Series E round to strengthen our customer base and technology capabilities. 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,” he added.
Overseas expansion
On plans to explore newer geographies, Rao said, “There is an immense opportunity for our business outside India as well, and we would be exploring international expansion in the coming years.”
Hamad Shahwan Al Dhaheri, Executive Director of the Private Equities Department at ADIA, said: “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.”
Sourjyendu Medda, Co-founder and Chief Business Officer, DealShare, said, “DealShare is arguably the fastest growing e-commerce company in India. We are in touching distance of hitting $1 billion of gross revenue run rate with just three years in operation. We are likely to hit $3 billion of gross revenue run rate in the next 12 months. We will be tripling our geographical presence, investing heavily on acquiring top-notch tech talent, and building world-class supply chain infrastructure to aid this growth along with continued focus on capital efficiency and path to profitability. We are targeting operational profitability by the end of this year.”
Founded by Rao, Medda, Sankar Bora, and Rajat Shikhar in 2018, DealShare provides a curated assortment at highly competitive prices and has built a community leader driven ultra-low-cost delivery mechanism
In January 2022, DealShare raised $165 million in the first of its Series E fundraise. The company welcomed Dragoneer Investments Group, Kora Capital, Unilever Ventures, and continued commitments from existing investors Tiger Global and Alpha Wave Global (Falcon Edge).