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BigBasket secures $50M in funding led by Bessemer

Bangalore-based online grocery store BigBasket, has raised $50 million in a round of funding led by Bessemer Venture Partners at a $400 million valuation, reports iamwire. The report also mentions that the startup has appointed Citigroup to help raise an additional $150 million from a new set of investors. The startup will use the new round of funding to expand to another 50 Tier II cities. Founded in December 2011 by Fabmall founders VS Sudhakar, Hari Menon, Vipul Parekh, VS Ramesh and Abhinay Choudhari, BigBasket currently operates in Bengaluru, Hyderabad, Chennai, Delhi, Pune and Mumbai. The company had also mentioned earlier this year that it would look to expand to 50 new locations within a year, that would be clustered in groups of 5-6 cities, which would then be served by six central locations. Prior funding: In September last year, BigBasket raised Rs 200 crore investment in a round led by Helion Ventures and Zodius Capital and participation from existing investors Ascent Capital and LionRock Capital. The company said then that it would use the funds to expand operations to 10 Indian cities by the end of this year. Prior to this, BigBasket had raised $10 million from Ascent Capital in March 2012. GrowthStory’s Meena and K Ganesh had also invested in this venture. Delyver acquisition: In June, BigBasket acquired the hyper local delivery startup Delyver in a cash and stock deal for an undisclosed amount. The company had said then that the acquisition would add to its delivery service…

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