Moglix Secures $12.3 Mn from Singapore Parent Amid Plans for India Domicile Shift and IPO – TechStory

The parent firm of Moglix, a well-known business-to-business e-commerce site that specializes in industrial tools and equipment, has invested INR 107.58 crore, or roughly $12.3 million. The company is preparing to move its headquarters back to India and go public by 2027, so this money, which has been raised in several installments since December 2024, comes at a critical moment. The unicorn financed by Tiger Global is paving the way for quick expansion and market leadership in the industrial supply industry.

Credits: Inc 42

Moglix: Revolutionizing Industrial Supply Chains

Founded in 2015 by Rahul Garg, Moglix has transformed the procurement landscape for industries like automotive, cement, chemicals, consumer durables, and FMCG. With an extensive catalog of industrial tools, safety equipment, and MRO (Maintenance, Repair, and Operations) supplies, the platform has become the go-to partner for over 500,000 SMEs and more than 1,000 large manufacturers worldwide.

The company boasts an impressive clientele, including industry giants such as Hero MotoCorp, Vedanta, Tata Steel, and Unilever. Additionally, it has secured contracts with public sector enterprises like Air India and NTPC, further solidifying its presence in India’s industrial ecosystem.

Financial Growth and Challenges

With operating revenue increasing 83% to INR 4,664.7 crore in FY23 from INR 2,554.6 crore the previous year, Moglix has experienced exponential revenue growth. Nevertheless, the company’s total net loss rose to INR 196 crore, a 12% increase. The company struggles to make a profit even though sales growth suggests that there is a significant degree of market demand.

The latest $12.3 million investment is expected to improve Moglix’s technology-driven procurement solutions, boost supply chain efficiency, and fortify the company’s operations. As the company prepares for its IPO, addressing profitability concerns will be a top goal.

Desh Wapsi: Moglix’s Plan to Shift Back to India

Moglix is contemplating relocating its legal residence from Singapore to India as a calculated move, which is becoming more and more common among Indian companies. The government’s efforts to promote domestic companies to list on Indian stock markets and the country’s thriving economy are in line with the decision.

According to CEO Rahul Garg, the company would be “publicly ready” in the upcoming year, with an IPO scheduled for 2026 or 2027. Moglix is anticipated to gain regulatory advantages, improved access to domestic investors, and a more positive image of its brand in the Indian market as a result of this action.

Expanding Beyond India: Credlix and Global Ambitions

Moglix is growing its global presence in addition to solidifying its position in India. To help expand into the U.S. and Mexican markets, the company has invested $50 million in Credlix, its supply chain financing division.

Credlix provides SMEs in sectors like electronics, automotive, textiles, and aerospace components with collateral-free lending options. This action demonstrates Moglix’s goal of becoming a world leader in industrial supply chain financing and assisting small businesses everywhere.

Supporting India’s Startup Ecosystem

In addition to its own expansion, Moglix is supporting the startup scene in India. In collaboration with the Department for Promotion of Industry and Internal Trade (DPIIT), it has initiated a 12-month incubation program for more than 25 manufacturing growth-stage firms. In order to maintain India’s industrial sector’s competitiveness on a global scale, this effort seeks to promote innovation in vital sectors like chemicals, automotive, infrastructure, and green energy.

Credits: Manufacturing Today India

The Road Ahead: IPO and Beyond

Moglix is embarking on a revolutionary journey with plans for aggressive development, significant investments, and a possible initial public offering (IPO) in the works. The company is positioned as a strong participant in the global industrial supply chain industry thanks to its emphasis on digital procurement, supply chain financing, and manufacturing innovation.

The upcoming years will be critical in assessing Moglix’s capacity to strike a balance between growth, profitability, and innovation as it gets ready for its eagerly awaited public offering. Its transformation from a startup to a publicly traded industrial giant would mark a significant turning point in India’s startup success story if it is carried out effectively.

_{Images are for reference only.Images and contents gathered automatic from google or 3rd party sources.All rights on the images and contents are with their legal original owners.}