Indian online marketplace Shop101 is seeking to raise $11-12 million in a Series B funding round. Talks concerning the investment are being led by Kalaari Capital and Unilever Ventures, with participation expected by current backer Stellaris Venture Partners, which invested $5 million several months ago. Investment capital is likely to assist the firm in technological development and expansion into new business categories.
Shop101 uses Whatsapp, Facebook and Instagram functionality to support online entrepreneurs. WhatsApp and Facebook each have more than 200 million users in India. The Shop101 app has been downloaded about 1 million times and has experienced growth of 50 per cent month on month since its launch.
A joint report by Google and KPMG last year indicated online SMEs could boost Indian economic growth by 10 per cent by 2020.