Telecommunications and internet group SoftBank’s Vision Fund has led a $60m batch of funding for India-based online grocer Grofers that valued it at $425m post-money, Paper.vc reported on Friday.
Vision Fund provided $37.5m while hedge fund manager Tiger Global Management invested $20m and venture capital firm Sequoia Capital $2m.
The funding will form part of a wider round that the company aims to close at between $120m and $140m, according to the Economic Times, which reported that Vision Fund expects to supply a further $40m through the round. Its stake will however be capped at 49%.
Grofers runs an online platform that offers more than 5,000 products covering categories such as food and beverages, household goods, cosmetics and wellness items at prices it claims are lower than brick-and-mortar supermarkets.
News of the round follows a report in October 2018 suggesting Vision Fund was set to lead a series F round for Grofers sized at up to $150m that would value it at $600m to $650m.
The company has now raised approximately $286m altogether. SoftBank invested $40m to lead its last round in March 2018, when it secured $61.4m in a round also featuring Tiger Global and Yuri Milner at a $300m valuation.
Grofers had previously received $120m in a series C round led by SoftBank in 2015 that included Apoletto Managers and existing investors Tiger Global and Sequoia Capital.
