JAKARTA — Indonesian B2B commerce company Sinbad is set to close a funding round of about $15 million to $20 million as it seeks to bolster its position in the competitive supply chain business, DealStreetAsia has learned.
Founded in 2018, Sinbad provides a platform for retailers and merchants to place orders directly with principal manufacturers and product distributors.
Venture capital firms MDI Ventures and Genesia Ventures are understood to be backing the startup’s latest funding round. The company and the VCs did not respond to a request for comment.
Sinbad offers very little information on its product and services on its website and social media pages. Its app, which has been installed over 10,000 times on the Google Play Store, lists several FMCG (fast-moving consumer goods) categories as well as cosmetics.
About 80% of Indonesia’s $380 billion retail market is dominated by the unorganized sector, which includes 4 million to 5 million mom-and-pop shops, or “warungs” in local parlance. B2B commerce players target these traditional retailers, who would earlier have to close their stores to visit wholesalers to replenish their inventory. Using B2B commerce platforms, these retailers can enjoy better stock visibility and convenient ordering and restocking.
Sinbad, which has stayed away from the media spotlight and has never publicly announced any funding, operates in a space that has become increasingly crowded in Indonesia.
Over the last couple of years, several B2B commerce players have emerged in the archipelago. Some, such as Ula and GudangAda, have raised substantial funding from high-profile investors.
Ula has raised a $10.5 million seed round from VCs such as Sequoia Capital India and Lightspeed India. Its individual backers also include private equity firm Northstar Group’s Patrick Walujo and Indian B2B commerce unicorn Udaan co-founders Sujeet Kumar, Vaibhav Gupta and Amod Malviya.
GudangAda, meanwhile, has secured a total of $36 million over two rounds in just over three months. Its backers include Sequoia India, Alpha JWC and Wavemaker Partners.
Other contenders in the race to digitalize the B2B supply chain in the country include specialized players such as social commerce startup Super and retail tech company Warung Pintar. Regional unicorns Bukalapak, Grab and Tokopedia have also entered the field with their O2O (online-to-offline) business arms. Gojek, the country’s most valuable startup, joined the fray in September with the launch of GoToko.
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DealStreetAsia is a financial news site based in Singapore that focuses on private equity, venture capital and corporate investment activity in Asia, especially Southeast Asia, India and greater China. Nikkei owns a majority stake in the company.