Infra.Market divests 10% stake for $20 Mn in RDC Concrete

Construction marketplace Infra.Market has recently divested a 10% stake in RDC Concrete. The stake was sold to a group of public market investors led by renowned investor Ashish Kacholia, for around $20 million.

The development is part of Infra.Market's broader strategy aligns with its plans for an initial public offering (IPO) in the near future.

Infra.Market's partnership with RDC Concrete

Infra.Market's association with RDC Concrete began in 2021 when it acquired the ready-mix concrete (RMC) company for $90 million. At the time of acquisition, RDC Concrete, founded by Anil Banchhor, operated 49 RMC plants.

The number has since doubled to 100 plants across 48 cities, with plans to expand to 180 plants by the end of FY25. The acquisition and subsequent growth of RDC Concrete have been pivotal in Infra.Market's expansion strategy.

RDC Concrete valuation

According to reports, The divestment values RDC Concrete at $225 million, reflecting significant growth since its acquisition. Infra.Market, founded by Aaditya Sharda and Souvik Sengupta, claims to have witnessed a 6X surge in net profit and a 404% increase in revenue in FY22.

The company, which has expanded beyond B2B to include retail and B2C opportunities, also plans to acquire majority ownership in Strata Geosystems.

Infra.Market's divestment in RDC Concrete is a strategic move ahead of its anticipated IPO. The company's expansion plans underscore the potential in India's construction material market, especially in the ready-mix concrete sector. The growth of RDC Concrete, both in revenue and EBITDA, reflects the increasing shift in India from hand-mixed to manufactured concrete, especially in non-metro areas.

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