New Delhi, Oct. 6 -- JSW One Platforms Ltd, a business-to-business digital marketplace for industrial materials, has raised a total of Rs 575 crore ($64.7 million) in an extended funding round from a group of investors, including its parent company JSW Steel.
The tranche extends the company's previous funding round in May, which valued JSW One at about $1 billion (Rs 8,500 crore then). At the time, JSW One had raised Rs 340 crore, and has now secured an additional Rs 235 crore.
Besides JSW Steel, the round saw participation from domestic lender State Bank of India (SBI), US-based Principal Asset Management, and financial consultancy firm OneUp.
JSW One's post-money valuation currently stands at about Rs 8,575 crore, slightly higher from May in rupee terms. However, it is below $1 billion in dollar terms due to recent currency fluctuations.
JSW One said the fresh funds will be used to drive its next phase of growth through investments in its proprietary technology platform, expansion of operations, and strengthening of its non-banking financial company (NBFC) arm.
"With this funding, we are privileged to welcome SBI as a long-term partner, while reaffirming our mission to empower MSMEs through tech-driven solutions. Our growing NBFC arm will play a vital role in bridging the working capital gap for MSMEs," said Parth Jindal, chairman, JSW One Platforms.
The company intends to focus on micro, small and medium enterprises (MSMEs), widen credit access, enhance underwriting capabilities, and design customized financial products for small businesses. It also plans to expand its distribution and logistics network across major industrial clusters.
JSW One leverages JSW Group's $22-billion manufacturing ecosystem, logistics infrastructure, and credit services.
Launched in January 2021, the company's e-commerce platform JSW One MSME serves the manufacturing and construction sectors, primarily catering to the building material needs of MSMEs across India. Its core offerings include steel, cement, and paints. JSW Group has committed around Rs 4,000 crore to build out the platform.
In 2023, Japan's Mitsui & Co had invested Rs 205 crore in JSW One at a valuation of over Rs 2,705 crore ($330 million). As of March 31, 2024, Mitsui held an 8.2% stake.
The company reported a 2.4x jump in its gross merchandise value (GMV) to Rs 12,567 crore in FY25.
Published by HT Digital Content Services with permission from VC Circle.