Farm-to-fork company Otipy is set to secure fresh funding in an extended Series B round from both new and existing investors, 28 months after its previous $32 million Series B funding in March 2022. The new investment will total $10 million and will be used to strengthen Otipy’s operations in existing cities and support its expansion plans. Currently active in Delhi (NCR) and Mumbai, Otipy is considering launching in Bengaluru and Hyderabad.
The additional capital will help Otipy enhance its farm-to-fork delivery model, which involves sourcing fresh produce directly from farmers and delivering it to consumers every morning. The company currently generates a gross merchandise value (GMV) of Rs 20 crore monthly with a Rs 3 crore burn rate. Having established a strong presence in the fruits and vegetables market, Otipy now plans to expand its focus to groceries and aims to achieve EBITDA breakeven in FY25.
To date, Otipy has raised a total of $44 million, including its $32 million Series B round. The largest external stakeholders in the company include SIG Global and WestBridge Capital. The latest funding round will further boost Otipy’s ability to scale and improve its services.
Otipy collaborates with over 20,000 farmers and has more than 1,000 partners, according to its website. The Gurugram-based company achieved over 50% growth, increasing its scale to Rs 173 crore in FY24 from Rs 115 crore in FY23. Additionally, its losses decreased by 21% in the fiscal year ending March 2024.
With this new investment, Otipy is well-positioned to continue its growth trajectory and expand its market presence in new cities, while maintaining its commitment to delivering fresh produce directly from farmers to consumers.
