DealShare raises Rs 70 crore in debt from Alteria Capital

Jaipur-based Merabo Labs, which runs social commerce platform DealShare, has raised Rs 70 crore (about $9.2 million at current exchange rates) in debt from Alteria Capital. 

The capital will be used to expand into newer markets as well as marketing purposes, the company said in a statement. 

In March 2021, DealShare raised a debt of Rs 25 crore from Innoven Capital.  

Previously in December 2020, DealShare secured Series C of $21 million (Rs 154 crore) from homegrown private equity firm Westbridge Capital, Alpha Wave Incubation, Matrix Partners and Omidyar Network.  

Founded in 2018, DealShare offers grocery and home care products to middle and lower income consumers in tier II and III towns. It procures products from local manufacturers and provides them with a platform to digitise their business. 

The startup is currently present in 25 cities across five states -- Rajasthan, Gujarat, Maharashtra, Karnataka and NCR -- and has onboarded over 2 million users. It claims a 50% month-on-month growth and serves over 50,000 orders every day.  

“We have seen tremendous growth in the last few years as we marched forward in our mission to cater to 500 million new-to-internet users. We are very happy to partner with Alteria Capital as they share a common vision and this capital will help us boost our progress in the right direction,” Sourjyendu Medda, co-founder of DealShare said. 

Alteria Capital was founded in 2017 by Murali and Ajay Hattangdi, who were top executives at InnoVen Capital. It’s a debt fund with a corpus of Rs. 2,300 crore across two funds. The company recently raised commitments of Rs 1,325 crore from domestic investors for its second venture debt fund.  

Venture debt has become an integral part of a startup’s funding cycle in India over the past couple of years as it rarely involves stake dilution by founders and provides companies with more time to grow. 

Alteria has backed companies like Rebel Foods, BharatPe, Lendingkart, Zestmoney, Dunzo, Portea, Toppr, Spinny, Stanza, Vogo, Melorra, Mfine, Generico, Loadshare, LBB, Beato, Maverix.