WhatsApp integrated merchant e-commerce platform Bikayi is all set to raise a fresh round from new and existing investors, said three people aware of the deal. “Bikayi is raising USD 10-11 million led by Sequoia Capital,” said one of the sources requesting anonymity as talks are yet to be public. The term sheet has been signed and the deal is almost done.
The Hyderabad-based startup provides a digital storefront and features including catalog, shipping, payments for grocery stores, wholesalers, manufacturers, and retailers to manage e-commerce via WhatsApp. According to the company’s website, more than 10 lakh businesses have utilized its services. It offers this service through various packages starting at Rs 417 per month and going up to Rs 833 per month. It also has a free tier with basic features.
This will be another investment in the fledgling e-commerce enablement space after Dot, which had raised a $27.5 million round in March. Dukaan and Khatabook, who also operate in the same space, are also in talks to raise fresh rounds.
While Bikayi is the only player in the space which is currently monetizing through subscriptions, most others struggle to retain merchants and drive transactions for them. According to experts, they require an integrated ecosystem consisting of the supply chain, logistics, and customer management.
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Bikayi had last year raised $2 million in its seed round from Mantis Ventures, Y Combinator, and Pioneer Fund. The two-year-old startup, founded by Sonakshi Nathani and Ashutosh Singla, was a part of Y-Combinator’s Summer Batch of 2020.
“Pioneer Fund along with other investors will also participate in the round. Bikayi is likely to be valued at around $45 million in the Series A round,” said the second source.
It’s worth noting that Reliance’s e-commerce venture Jiomart has a tie-up with WhatsApp to enable kiranas across India to transact digitally with neighborhood customers. The ongoing pandemic has also accelerated the willingness of small businesses to use technology to scale up their operations.
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