Unicorn in the business-to-business market Moglix paid Rs 80 crore, or nearly $9.4 million, to acquire Khatema Fibres, a manufacturer of environmentally friendly paper goods.
Through this agreement, Moglix hopes to expand its line of sustainable packaging and solidify its position as a leader in the industrial procurement market. It will improve local infrastructure and give farmers and craftspeople access to new markets, promoting prosperity and community growth. With plans to expand to 40 cities, Moglix recently launched Next Day Delivery in more than 12 cities, which is in line with this acquisition.
As part of its overall business strategy, Moglix also intends to diversify and integrate its products, cut lead times, guarantee effective delivery, and enter five new manufacturing categories, according to a press release.
Established in 1990, Khatema Fibres, which has a 50,000 metric ton yearly capacity, specialized in the production of sustainable paper. The company sells a variety of environmentally friendly products, such as virgin test liners, sublimation paper, machine-glazed and machine-finished papers, specialty high-strength kraft paper, interleaving paper, and food-grade packaging options.
Moglix, which Rahul Garg founded in 2015, is an online store that sells a variety of goods, including motors, electrical supplies, power tools, and medical supplies. In its 2021 Series E round, which was co-led by Harvard Management Company (HMC) and Falcon Edge Capital and included participation from Tiger Global, Sequoia Capital India, and Venture Highway, the company raised $120 million. The business has made a $50 million investment in Credlix, its supply chain financing division, in order to enter the US and Mexican markets.
