Tiger Global-backed platform Moglix has announced today that it acquired Vendaxo, an e-commerce platform for the purchase and sale of used machinery.
The above decision by the B2B commerce Unicorn is a step toward creating a capital-efficient and sustainable manufacturing ecosystem. Moglix has intended to use the acquisition to provide manufacturers with access to high-value capital goods at reasonable prices.
Speaking on the acquisition of Vendaxo, Rahul Garg, Founder & CEO, Moglix said “We started Moglix with the vision of providing doorstep access to high quality, affordable industrial products. The integration of Vendaxo with our platform is aligned with our vision to bring the ease and speed of e-commerce to the manufacturing sector.”
Vendaxo, like Moglix, is a B2B e-commerce participant. Poonam Choudhary and Nirat Patel founded it in 2017.
Micro, small, and medium-sized enterprises (MSMEs), as well as large manufacturing enterprises such as Siemens, Arvind India, Marico, Raymond, and Torrent Pharma, are among its users.
Through its digitally enabled and secured escrow process, the used machines and equipment marketplace allows 40 thousand users to buy and sell from its verified listings of 31 thousand SKUs. The used machinery market in India is close to Rs 64,000 crores and is a critical lever for driving the country’s sustainable manufacturing.
Co-founder Poonam Choudhary, of Vendaxo, said “Through Moglix, we will be able to provide solutions to a larger number of customers and on a much bigger scale. Our integration with Moglix will facilitate access to Moglix’s integrated suite of technology, credit lines, distribution network, and on-ground supply chain capabilities for greater market penetration.”
During a $120 million Series E fundraise last month to break into the unicorn club, Moglix welcomed Falcon Edge Capital and Harvard Management Company as investors. Moglix is one of Asia’s largest and fastest-growing B2B commerce platforms, with a $1 billion+ valuation, 30 warehouses, and an export footprint spanning 120 countries.
Previously, in 2019, the company was valued at $250-300 million.
Moglix was founded by IIT Kanpur alumni Rahul Garg who had previously served as the Head of Advertising Exchange at Google Asia. The six-year-old startup has investors such as Tiger Global, Sequoia Capital India and Venture Highway.
According to the company’s website, Moglix is an Asia-based E-commerce company focused on B2B procurement of industrial supplies, specifically MRO, Safety, Electricals, Lighting, Cleaning & Housekeeping, Office Stationery & Supplies, Power Tools, and many other industry essentials.