After failing to get Series B investment, ReshaMandi, a business-to-business (B2B) marketplace specialising in silk items, fired 80 per cent of its staff. Since last year, the corporation has been obliged to drastically reduce its operations.
According to two sources with knowledge of the issue, ReshaMandi owes more over Rs. 300 crore in debt. Lenders and vendors are suing the company, and some creditors are even considering declaring bankruptcy.
ReshaMandi has raised approximately US $ 70 million in debt and equity, and its investors include Omnivore and Creation Investments. In the agritech sector, the 2020-founded firm offers a full-stack digital ecosystem of natural fibre from farm to fashion.
Brijesh Agarwal, the founder of IndiaMART, Omnivore, which headed ReshaMandi’s seed round, 9 Unicorns, Venture Catalysts, Sandeep Singhal of Nexus, and others participated in the most recent round of fundraising, which totaled Rs. 225 crore and was comprised of debt and equity. Investors in debt include Stride Ventures, Innoven Capital, and Northern Arc.
