|BS|
Reliance Retail has bought a 25.8 per cent stake in Dunzo, India's leading quick commerce player, for USD 200 million (around Rs 1,488 crore) as it looks to expand its presence in online grocery delivery business.
Dunzo raised $240 million in its latest funding round that was led by Reliance Retail Ventures Ltd - the retail arm of Reliance Industries.
Existing investors Lightbox, Ligthrock, 3L Capital and Alteria Capital also participated in the funding round.
"This round is a reinstatement of confidence of existing and new investors in Dunzo’s potential and success in creating an exceptional user experience. The capital will be used to further Dunzo’s vision to be the largest quick commerce business in the country, enabling instant delivery of essentials from a network of micro warehouses while also expanding its B2B business vertical to enable logistics for local merchants in Indian cities," the two firms said in a statement.
Currently, Dunzo is available across 7 metro cities in India and the additional capital will be used to expand the quick commerce business to 15 cities. Dunzo launched its instant delivery model ‘Dunzo Daily’ in Bengaluru earlier this year, which is seeing over 20% week on week growth. The Dunzo Daily model delivers daily and weekly essentials within 15-20 minutes, with a focus on providing high quality fruits and vegetables.
(Except for the headline and the pictorial description, this story has not been edited by THE DEN staff and is published from a syndicated feed.)