Udaan raises $120 million through convertible debt notes and debt from existing shareholders and bondholders. After this round, the total funds raised by Udaan have crossed $350 million through convertible notes and debt in the last four quarters.
According to the media reports $30-$50 million is expected to come in another round. It is planning to go public in the next twelve to eighteen months, which signals a delay in its plans for the initial public offering (IPO).
“Despite the funding-related challenges being experienced by the larger start-up ecosystem, this fundraise reflects the confidence of investors in our business model and their endorsement of the journey to unit economics, driven by great progress in the evolution of our business model and cost efficiency, that we initiated last year,” said Aditya Pande in an internal email.
In January, Udaan had raised $200 million through convertible notes from a group of investors before Microsoft also pitched in, taking the total to about $225 million. Udaan was last valued at $3 billion, in January 2021.