New Delhi, Aug 2 (PTI) Technology-driven distribution firm Peel-Works Pvt Ltd is looking to raise USD 50 million (approx Rs 375 crore) over the next 12 months to fund its growth plans.
Peel Works, which supplies goods - food, grocery and consumer products - to small retailers through its platform, has so far raised over USD 15 million from various investors, including HDFC Bank, Unilever, Indian Angel Network and Equanimity.
The company plans to utilise the fund to expand its footprint to other geographical markets and onboard 1 lakh retailers over the next 12 months.
'We would be raising capital next year to scale the company to a 100-city operation. Some of the key focus areas include building a more extensive assortment of products to drive higher profitability for corner stores,' Peel-Works founder Sachin Chhabra told PTI.
'This is aligned with an increased presence in our existing geographies as well as expanding to other metros, Tier I and tier II cities, and will be one of the primary objectives for the coming year. In line with our expansion plan we are looking to raise close to USD 50 million to fuel the next phase of growth,' Chhabra said.
Peel-Works serves close to 20,000 retailers across 10 cities in the country, at present.
'We plan to scale to 100,000 retailers before we exit this year. We will expand our footprint in the East towards the later part of this year. There is a significant opportunity for direct distribution in that part of the country,' he added.
Chhabra said the company has 'experienced a significant demand surge' in the wake of the COVID-19 pandemic.
'The pandemic has seen resurgence of corner stores across the nation. Categories like packaged foods, health and personal care home cleaning and sanitation have exploded. Demand for family pack size SKUs (stock keeping units) have increased, as has the presence of regional and local brands. We see our business scaling to more stores and cities going forward this year,' he added. PTI SVK MR MR