Udaan raises $114 million to strengthen FMCG offering
The company also plans to accelerate its private label brands in staples and bolster its balance sheet ahead of a potential public listing, Indian Retailer Bureau reported. In a statement, Udaan said the fundraise will help to drive consistent growth with profitability at scale under its regional cluster-led operating model, ET Retail reported.
The investment comes as Udaan reports significant operational gains, including a 20% reduction in fixed costs and a 40% decline in EBITDA (earnings before interest, tax, depreciation, and amortisation) burn in 2024. The company noted an additional 20% reduction in burn so far in 2025. Udaan currently connects retailers, suppliers, and brands across India through a tech-driven B2B platform focused on streamlining commerce and logistics, according to its website.
'Over the last 3 years, we have transformed the business by building cost as a capability and a competitive advantage," said Udaan's co-founder and CEO Vaibhav Gupta, Indian Retailer Bureau reported. "We have reduced our EBITDA burn by 40 per cent every year for the last three years and are on track to achieve full group EBITDA profitability in the next 18 months."
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