BENGALURU: Omnivore-backed agritech startup Stellapps Technologies has raised $14 million in one of the largest equity funding rounds led by Bill and Melinda Gates Foundation and IndusAge Partners, among others. Bengalurubased Stellapps Technologies, which is also backed by Flipkart executive chairman Binny Bansal, is touted to be one of the largest dairy IoT platforms in India. The funds raised will be used for product development and expansion.
“The company is focussed on creating varied connected products that optimise the agricultural supply chain, right from the production of milk to its procurement, besides looking at cold-chain storage, farmer payments and animal insurance,” said a source aware of the developments.
The funds raised will be used for monitoring the quantity and quality of milk, storage facilities, creating wearable devices for tracking cattle health and infrastructure for housing the cattle. “Ultimately, the focus is on reducing costs for the farmer by ensuring there are higher milk yields and consistent health of their cattle,” added the source mentioned above.
A representative of the company confirmed the fundraise but declined to comment on the details. According to venture capital investors tracking this space, the Indian government controls approximately 40% of the dairy market. “It’s largely government controlled but there are still a few players emerging in the Indian dairy IoT sector. The provision of software cloud services speeds up the process, so we can see state governments partnering with startups in this space,” said an investor who did not wish to be named.
In 2017, the company raised an undisclosed amount in a round led by Blume Ventures, along with participation by Binny Bansal, Flipkart Group CEO. The company received its seed funding in 2013 from Omnivore Partners and was initially incubated at the rural technology business incubator in IIT Madras. The company’s clients include private dairies and dairy farms operating across India, Russia, France and Nepal, among other countries. Currently, Stellapps’ products include various applications for milk production, procurement, cold-chain management, a farmer wallet and cattle insurance application.