NowPurchase Funding Boosts Manufacturing Materials Marketplace

NowPurchase, a prominent Indian digital marketplace for industrial inputs, has successfully closed a funding round totaling approximately $8.5 million (₹80 crore). This significant capital infusion was spearheaded by Bajaj Finserv, with active participation from a consortium of notable investors including InfoEdge Ventures, Orios Venture Partners, Real Ispat Group, S Four Capital (represented by Shikhar Raj), and Lloyds Group (represented by Madhur Gupta).

The company, established in 2017 by co-founders Naman Shah and Aakash Shah, focuses on streamlining the procurement of essential manufacturing components. Its core offerings encompass a B2B platform facilitating the acquisition of materials like ferrous alloys, metal scrap, and carbon additives. NowPurchase has strategically built three key operational pillars: its primary raw materials exchange, the proprietary MetalCloud SaaS platform, and dedicated scrap processing facilities.

The MetalCloud SaaS solution represents a technological leap, leveraging artificial intelligence to provide manufacturers with actionable insights. This includes AI-driven suggestions for melting process optimization, real-time heat data delivery via WhatsApp, dilution recommendations, and dynamic pricing dashboards. This integrated approach aims to enhance efficiency and reduce costs for its clientele within the manufacturing sector, a segment that contributes significantly to India's GDP, estimated to grow at a robust pace in the coming years.

This latest funding round propels NowPurchase's total equity financing to approximately $12 million (₹120 crore). The company had previously secured $6 million in early 2024, also with InfoEdge Ventures taking a lead role. The consistent investor confidence underscores the market's positive reception to NowPurchase's innovative model in addressing supply chain inefficiencies within the manufacturing industry.

With the newly acquired capital, NowPurchase plans a multi-pronged expansion strategy. Key initiatives include bolstering its scrap recycling capabilities, expanding its range of branded products, scaling the MetalCloud platform's reach and features, and initiating geographic expansion into the industrially significant states of Tamil Nadu and Jharkhand. CEO Naman Shah indicated that the company is actively establishing its own comprehensive scrap processing centers and end-to-end marketplace operations, signaling a move towards greater vertical integration.

The company's operational footprint is already substantial, having delivered 1.95 lakh tonnes of materials to over 200 clients. It currently manages six warehouses and two processing centers. This expansion into new regions and enhanced processing infrastructure is expected to solidify NowPurchase's position as a key enabler for India's manufacturing ecosystem, particularly as the nation continues to push for increased domestic production and supply chain resilience.