Homegrown quick-grocery delivery provider, Dunzo will be raising $35 million in funding from existing backers like Reliance Industries and Google as well as new investors. While the exact terms of the new financing, including valuation, could not be determined, but Dunzo's value is likely to fall below $800 million.
The company has raised nearly $500 million to date, with approximately $300 million coming in since early 2022. Dunzo is a popular Indian quick commerce app that allows users to order groceries, food, and other items and have them delivered within minutes. The company has a strong presence in major Indian cities, and it is growing rapidly.
Reliance is India's largest conglomerate, and Google is one of the world's largest tech companies. Both companies have a lot of experience and resources, and they can help Dunzo to grow and expand. The investment from Reliance and Google is a good sign for the Indian quick commerce market. It shows that there is a lot of interest in this market, and that investors are willing to back Indian startups.
According to the report, the company is hoping to avoid a cash crunch. Since June, it has failed to pay staff salaries on time and has also failed to pay vendor bills. There have also been layoffs and a business restructuring. Sources said, the company had also promised employees to pay an interest of 12 per cent per annum on the salary component that it held back from June.
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