Vaibhav Gupta co-founded Udaan in 2016 with Sujeet Kumar and Amod Malviya to digitize India's wholesale trade through a B2B e-commerce platform connecting retailers and suppliers.
Written by TFN Research Desk | covering startups, technology, venture capital, and business strategy.
Table of Contents
- Quick Facts
- Introduction
- The Udaan Story
- Business Model
- How Udaan Makes Money
- Funding History
- Revenue and Performance
- Key Takeaways
- FAQs
- Sources
Quick Facts
Vaibhav Gupta: Co-founder and CEO, ex-Flipkart executive. Co-founders: Sujeet Kumar, Amod Malviya. Founded: 2016. Company type: B2B e-commerce platform. Valuation: $1.8 billion. Total funding: $2.17 billion. Status: IPO planned for 2026. Headquarters: Bengaluru.
Introduction
Vaibhav Gupta, Sujeet Kumar, and Amod Malviya founded Udaan in 2016 as India’s B2B e-commerce platform for wholesale trade and distribution. Starting with vision to digitize India’s fragmented wholesale market, Udaan connected retailers directly with manufacturers and suppliers. The platform expanded across FMCG, staples, fruits and vegetables, healthcare, and pharma categories. Udaan raised $2.17 billion across Series G funding rounds, maintaining $1.8 billion valuation. The company operates across 3 million retailers and 25,000 suppliers with Rs 5,700 crore annual revenue. Udaan achieved significant operational improvements with 40% annual EBITDA burn reduction and targets full profitability within 18 months. The company filed for IPO preparation in 2025-26 consolidating all business verticals. This profile covers Gupta’s journey building India’s largest B2B e-commerce platform.
The Udaan Story
Vaibhav Gupta, Sujeet Kumar, and Amod Malviya worked as Flipkart executives recognizing massive opportunity in India’s offline wholesale market. India’s retail sector valued at Rs 25+ lakh crore remained largely offline with fragmented supply chains. Traditional wholesale lacked digitization, transparency, and efficient logistics. Retailers visited multiple suppliers for different categories, facing inconsistent pricing and payment delays.
In 2016, the trio founded Udaan with mission to build B2B marketplace connecting retailers directly with manufacturers and distributors. The platform introduced standardized catalogs, transparent pricing, digital payments, and integrated logistics. Early growth proved strong. By 2019, Udaan established presence across major Indian cities with significant retailer base.
Udaan’s hybrid model combined highly available e-commerce app with new-generation tech-first sales infrastructure. This differentiated approach from pure marketplace models. The company expanded beyond FMCG into adjacent categories including healthcare, pharma, and food. Udaan also developed udaanCapital providing financing solutions to small businesses, transforming from pure marketplace into integrated commerce and fintech platform.
In 2023, Udaan raised $340 million funding from M&G Plc and Lightspeed at $1.8 billion valuation, validating the B2B e-commerce thesis. Throughout 2024-25, the company executed significant operational transformation focusing on profitability. In February 2025, Udaan raised $75 million at flat $1.8 billion valuation. In June 2025, the company secured additional $114 million Series G round demonstrating sustained investor confidence.
Government approval in early 2025 enabled Udaan to consolidate multiple business entities into single Hiveloop Ecommerce entity, streamlining operations for IPO preparation. By March 2026, CEO Vaibhav Gupta announced IPO plans for next 9-18 months with redomiciling back to India from Singapore.
Business Model
- B2B marketplace connecting retailers, distributors, and suppliers
- FMCG, staples, fruits and vegetables, healthcare, pharma categories
- Integrated logistics and supply chain solutions
- Order management and payment processing
- Private label brand development in staples
- udaanCapital fintech offerings for working capital
- Regional cluster-led operations model
How Udaan Makes Money
- Commission on retail transactions
- Supplier and vendor subscription fees
- Logistics and fulfillment services revenue
- Private label brand margins
- udaanCapital lending and credit services
- Data and analytics services
- Technology platform licensing
Funding History
| Round | Year | Amount | Lead Investors |
|---|---|---|---|
| Series A-E | 2017-2021 | Multiple | Various VCs |
| Series F | 2023 | $340M | M&G, Lightspeed |
| Series G | 2025 | $189M total | M&G, Lightspeed |
Udaan raised $2.17 billion across Series G with $1.8B valuation.
Revenue and Performance
- Annual revenue: Rs 5,700 crore (FY 2023-24)
- GMV: Rs 5,706.6 crore (FY24)
- Retailers: 3+ million connected
- Suppliers: 25,000+
- EBITDA burn reduction: 40% annually for 3 years
- Net loss: Rs 1,055 crore (FY25, down 37% YoY)
- Target: EBITDA profitability in 18 months
Key Takeaway
- Vaibhav Gupta, Sujeet Kumar, Amod Malviya founded Udaan in 2016
- Built India’s largest B2B e-commerce platform connecting 3M retailers, 25K suppliers
- Raised $2.17 billion achieving $1.8 billion valuation
- Operating revenue Rs 5,700 crore with focus on profitability
- Achieved 40% annual EBITDA burn reduction over 3 years
- Consolidated business for IPO preparation in 2025-26
- Hybrid e-commerce and sales model establishes competitive benchmark
- Private label expansion in staples improving margins
- IPO planned for 2026 with redomiciling to India
- Positioned to become largest B2B commerce platform in Asia
FAQs
Who founded Udaan?
Vaibhav Gupta (CEO), Sujeet Kumar, and Amod Malviya founded Udaan in 2016 as ex-Flipkart executives.
When was Udaan founded?
Udaan was founded in 2016 to digitize India’s fragmented wholesale market.
What is Udaan’s current valuation?
$1.8 billion as of 2025 (flat valuation since 2023).
How much funding has Udaan raised?
$2.17 billion across Series G funding rounds.
How many users does Udaan have?
3+ million retailers and 25,000+ suppliers connected on platform.
What is Udaan’s revenue?
Rs 5,700 crore annual revenue (FY 2023-24).
Is Udaan planning an IPO?
Yes, IPO planned for 2026 with redomiciling to India from Singapore.
What is udaanCapital?
Fintech platform providing working capital financing and credit services to small businesses.
Why did Udaan focus on EBITDA profitability?
To establish sustainable business model and prepare for public markets with investor confidence in profitable operations.
What makes Udaan different from competitors?
Hybrid e-commerce app plus tech-first sales model provides superior ROI and customer wallet growth compared to pure marketplace competitors.
Sources
- Business Standard: https://www.business-standard.com/companies/start-ups/udaan-raises-114-mn/
- Tracxn: https://tracxn.com/d/companies/udaan/
- Inc42: https://inc42.com/features/indian-startup-ipo-tracker-2026/
©️ The Founder Nation | Written by TFN Research Desk
