Premium online laundry startup Sorterz has bought out rival app-based laundry firm Maxclean’s business-to-business (B2B) business for an undisclosed sum. Both are Bengaluru-based startups, leveraging technology to grow their business.
Sorterz is engaged in dry cleaning and wet clothes washing services focusing on hospital and hotel segments. With the latest transaction, Maxclean, which operates a unit at Doddaballapur in Bengaluru rural district, has exited from the B2B or the industrial laundry segment, and will run only retail laundry business, Sorterz founder Chandan Singh said.
The B2B laundry in India was an unorganized sector and is slowly moving to the organized sector and suddenly there is a huge surge in competition, Singh said in a statement.
Market research reports say the B2B laundry business in India is growing exponentially and is expected to touch Rs 20,000 crore by 2025. “We are looking at acquiring a big chunk of this market over the next few years,” said Pramod D’Souza, advisor at Sorterz.
Singh, who started Sorterz during the Covid pandemic in 2020 said: “This transaction gives us leverage to grow in Bangalore and is a good starting point looking at growth across different cities in India.”