Otipy Secures Fresh $32 Million Funding for Continued Growth

Otipy, a leading farm-to-fork delivery platform, is poised to receive a new investment in an extended Series B funding round. This news comes just over two years after the company secured $32 million in its initial Series B round in March 2022.

New Investment and Strategic Plans

According to anonymous sources, a new investor, alongside existing ones, is expected to contribute $10 million to Otipy. The deal is reportedly in the final stages of negotiation and a formal announcement is likely to be made soon. This fresh capital injection will be strategically used to bolster Otipy’s operations in its current markets and fuel expansion into new territories.

Strengthening Existing Markets and Exploring New Horizons

Currently operational in Delhi (NCR) and Mumbai, Otipy has its sights set on expanding to prominent cities like Bengaluru and Hyderabad. This strategic move underscores the company’s commitment to establishing a wider national presence.

Farm-Fresh Deliveries and Beyond

Otipy operates on a robust farm-to-fork model, ensuring the freshest produce reaches consumers’ doorsteps every morning. They achieve this by sourcing directly from farmers, eliminating unnecessary intermediaries. The company boasts a monthly gross merchandise value (GMV) of Rs 20 crore with a burn rate of Rs 3 crore. Beyond its established strengths in fruits and vegetables, Otipy plans to expand its offerings to include a wider range of groceries, catering to a more comprehensive consumer demand.

Financial Progress and Long-Term Goals

Otipy is on a promising trajectory, aiming to achieve EBITDA breakeven by the end of FY25. This financial milestone signifies the company’s commitment to sustainable growth. With this new funding round, Otipy is well-positioned to solidify its market leadership and achieve its ambitious expansion plans.

Transparency and Growth Trajectory

While Otipy has not yet responded to queries regarding the new investment, the company’s public information paints a picture of consistent growth. To date, Otipy has garnered a total of $44 million in funding, with its 2022 Series B round led by Westbridge Capital. According to TheKredible, a startup data platform, SIG Global holds the largest external stake in the company, followed by WestBridge Capital.

A Look at Otipy’s Ecosystem

Otipy’s website reveals an impressive network of over 20,000 partnered farmers and more than 1,000 collaborators. Headquartered in Gurugram, the company has witnessed significant growth, scaling up by over 50% in FY24, reaching a revenue of Rs 173 crore compared to Rs 115 crore in the previous fiscal year. Additionally, Otipy has demonstrated financial discipline by reducing its losses by 21% in the fiscal year ending March 2024.