udaan secures $114 million in Series G funding led by M&G Investments and Lightspeed

udaan, an eB2B platform, today announced the successful closure of its Series G financing round raising $114 million in fresh equity capital. The round was led by M&G Investments and Lightspeed with participation from other existing and new investors, reflecting strong investor conviction in udaan’s long-term opportunity and its progress towards public market listing.

The fresh capital will be deployed to strengthen udaan’s category and customer footprint, with focus on Fast-Moving Consumer Goods (FMCG) category and Hotel, Restaurant, and Catering (HoReCa) customer segment. udaan will also accelerate its private label brands initiatives in the staples category. This capital raise will also fortify udaan’s balance sheet, providing enhanced financial flexibility as the company advances toward its public market debut.

As part of its long-term vision, udaan is focused on driving “consistent growth with profitability at scale” by following regional cluster-led operating model reinforcing its commitment to building a sustainable and scalable business.

Backed by solid business fundamentals, udaan continues to demonstrate strong contribution margin accretive growth, clocking 60%+ Year-on-Year (Y-o-Y) growth in CY 2024, alongside a 300+ basis point improvement in contribution margin. This growth trajectory has continued into CY 2025 with an additional 100+ bps contribution margin improvement year-to-date. Alongside the contribution margin growth and scale operating leverage, udaan also reduced its fixed costs by 20%, leading to a 40% reduction in EBITDA burn in calendar year CY 2024 and an additional 20% reduction year-to-date in CY 2025.

Vaibhav Gupta, Co-founder and CEO, udaan, said in a statement, “Over the last 3 years, we have transformed the business by building cost as a capability and a competitive advantage. We have reduced our EBITDA burn by 40% every year for the last 3 years and are on track to achieve full group EBITDA profitability in the next 18 months.

udaan’s hybrid model of ‘highly available eCom app + new-gen tech-first sales’ is now established as the benchmark winning model for eB2B, providing an ROI accretive customer wallet growth, and a strong solution for brands and manufacturers to drive product mix.”Completion of series G round enables us to continue investing in our customer-tech platform, sales-tech capabilities and deepening our customer value proposition helping us deliver our goal of consistent growth with profitability at scale.”