Solv, a B2B digital marketplace for micro, small and medium enterprises (MSMEs) has raised $40 million (over ₹300 crore) in its latest round of funding led by Japan-based SBI Holdings.
The funding round also witnessed participation from SC Ventures, which has been an incubator and early-stage investor of Solv. The round takes Solv’s total funding to nearly $80 million.
Solv enables MSMEs to trade in categories such as grocery and fast-moving consumer goods (FMCG), readymade apparels, electronic and accessories, home furnishings and footwear and accessories. It is currently present in over 200 cities in India, servicing over 19,000 pin codes and has over 2,20,000 KYC-verified MSMEs users on its platform.
The platform clocked over $260 million GMV run-rate in the first half of 2022 with about 60 per cent average repeated purchases.
Solv has expanded its network of financial institution (FI) partners on the credit platform to include major non-banking financial companies (NBFCs) as well as new-age fintechs.
Solv’s supply chain finance platform was piloted in 2021 with nine anchor partners.
Amit Bansal, CEO, Solv said: “The learnings in India, and the resultant development in product, technology and platform is enabling us to create workable models for MSMEs in other geographies across the world. At this critical juncture of Solv’s journey, we are humbled to welcome on board SBI Holdings as a long-term partner. This strategic partnership and investment will give us significant tailwinds and help us become a dominant B2B player over the next 12-18 months.”
“We are excited to lead Solv’s Series A fund raise, one of our largest investments in the region. We are confident that Solv will become a global technology powerhouse and play a defining role in turbo-charging the growth of underserved MSMEs,” said Yoshitaka Kitao, CEO, SBI Holdings.
“Our investment in Solv is a reinforcement of our commitment to developing economies, especially India,” added Kitao.
Alex Manson, Head, SC Ventures, said: “Solv’s rapid growth since launch demonstrates the huge market potential in the B2B space. The partnership with SBI Holdings will help us accelerate growth of Solv in India and expand its footprint globally.”
Solv is targeting half a billion-dollar GMV run-rate and positive unit economics by December 2022, from the India market alone.
June 27, 2022