Bengaluru startup Zorit, formerly known as Bijnis, has raised nearly ($2.84 million) Rs 27 crore funding led by Sparrow Capital. Existing investors Info Edge and WaterBridge participated alongside Better Capital, angel investors and employees, as the startup seeks to further enhance its fast commerce platform and broaden offline commerce offerings.
Key Highlights
- Bengaluru startup Zorit raised nearly Rs 27 crore in funding led by Sparrow Capital to expand its B2B quick commerce operations.
- Zorit operates 12 dark stores across 12 cities, reports Rs 120 crore annualised sales and plans to deepen retailer engagement.
The angel investors taking part in the round are Anupam Mittal (Founder of Shaadi.com), the founders of Shiprocket, Mohit Sardana (CEO of Xpressbees) and Sarthak Misra (SoftBank).
On fully converted and diluted basis, Bijnis' stake in Info Edge will rise to 20.12% following the investment. In a disclosure made to the stock exchange earlier this week, Info Edge also indicated that it could make further investments in the company via a secondary transaction.
Zorit Funding Round Led by Sparrow Capital to Expand Quick Commerce
Zorit was established in 2015 by Siddharth Vij, Chaitanya Rathi, Siddharth Rastogi and Sachin Chauhan. Zorit initially operated as a B2B marketplace connecting manufacturers with retailers and transitioned to an inventory-led quick commerce model in late 2024.
The platform allows offline retailers to source inventory from locally stocked dark stores, with deliveries completed in as little as 60 minutes. The new funding will be used to expand the product lineup and drive more involvement with retailers in its markets, as well as infrastructure projects.
Zorit Operates 12 Dark Stores Across 12 Cities, Reaches Rs 120 Crore Sales Run Rate
Zorit currently operates 12 dark stores across 12 cities and has reached an annualised sales run rate of Rs 120 crore. Nearly 50% of its dark stores have achieved break-even, including the cost of liquidating unsold inventory.
The startup said nearly 60% of its retailers had never used an online B2B platform before joining the service. Retailer retention beyond the sixth month has improved fourfold compared with its earlier business model, while monthly ordering frequency has increased fivefold.
Retailers place an average of five to six orders per month, with the highest-performing customer cohorts exceeding 10 orders.
Also Read: Startup Funding Report: 15 Firms Raise $133.9 Mn in the Latest Week
Info Edge Raises Stake in Zorit to 20.12%
Participation of Info Edge in the latest funding round will increase its ownership in Bijnis to 20.12% on a fully converted and diluted basis. The company has also indicated the possibility of acquiring additional equity through a secondary transaction.
In May 2023, Info Edge wrote off its entire Rs 76.65 crore investment in Bijnis, which operated through Bizcrum Infotech.
Zorit has previously secured funding from investors including Matrix Partners, now known as Z47; Sequoia Capital, now Peak XV Partners; and WestBridge Capital. In September 2021, Bijnis raised $30 million in a Series B round led by WestBridge Capital, taking its total funding at the time to more than $40 million.
Zorit Focuses on Faster Inventory Replenishment for Offline Retailers
Zorit’s inventory-led quick commerce model focuses on faster stock replenishment, locally relevant product assortments and lower minimum order values for offline retailers. By sourcing products from nearby dark stores, retailers can replenish inventory more frequently and respond to local consumer demand.
Siddharth Vij, CEO of Zorit said that they strongly believe that a substantial part of India’s future commerce will remain retailer led. As consumer expectations evolve, retailers need better technology and supply chain infrastructure to compete and grow.
The latest funding round will help the company develop its operating network and improve its service offering as it builds on its quick commerce model for India's offline retail sector.
