IndiaMart Intermesh Pvt Ltd popularly known as IndiaMart has been on a recording-breaking spree for the last few months. Company share has hit a new high of Rs 8299. With the current market position, IndiaMart’s valuation has touched the $3 billion mark.
IndiaMart Grows Rapidly
On Tuesday, IndiaMart posted news about its fundraising plans. This news triggered the market. Tuesday itself, IndiaMart shares increased by 3%.
The company’s directors meet will happen on Monday, 18 Jan 2021. The main agenda of the meeting will the finalization of fundraising plans. Other than fundraising discussion, the meeting will also discuss and approve the financial results of the company for the last quarter of 2020.
In the July September quarter of 2020, the company saw an earning of Rs 82 crores. These earning numbers are way more than Rs 36 crore earnings in quarter 2 of FY 2020. There is sustainable growth in the company’s EBITDA(earnings before interest tax depreciation and amortization).
Cost optimization techniques in the last 6 months provided these positive results. Recently, IndiaMart has adopted the online environment in an efficient manner. That became the primary reason for high earnings. Growth in business activities is the other reason for the Company’s success.
IndiaMart’s share price has increased by 54% in the last month. Current trading is the highest since its listing in the public domain.
Beginning of IndiaMart
IndiaMart was founded in the year 1999. It started its Initial Public Offer(IPO) in June 2019. It is the largest B2B retail company in India. The company saw a profit of Rs 31.4 Crore in the first quarter after the IPO.
The company’s initial share price was below Rs 1000. The company has seen a growth of around 800% of the initial share price. IndiaMart has a user base of more than 10 crores. It crossed the $1 billion valuations in March 2020.
Big brands like Tata, Philips, and Jindal industries have joined hands with IndiaMart. It is a Noida based company founded by Brijesh and Dinesh Chandra Agarwal. Current digital infrastructure has helped IndiaMart to grow. 64% percent of Indiamart traffic comes from Tier 1, Tier 2, and Tier 3 Cities. Metro cities provide 36% traffic to IndiaMart.
Currently, there is a listing of 68 million+ products in 100000 categories over IndiaMart. It has a total of 60% market share among B2B e-commerce businesses.
