Exclusive: Bessemer and Stellaris funded B2B marketplace Wydr shuts down
Mobile-based B2B marketplace Wydr has shut down its operations. According to two sources, the company was scaling down for the past three months and finally pulled the plug a couple of days ago.
The Bessemer Venture Partners and Stellaris VC-backed company has also suspended its website. Entrackr has tried accessing Wydr web app but it throws DNS error. While the reason for its shutdown is not clear, lack of funds and competition are likely reasons for the shutdown.
“Wydr was out in the market for follow-on rounds. However, Udaan’s massive fundraise and aggressive expansion has left little chances for startups in this space to convince VCs for pumping a large amount of capital,” said one of the two sources on condition of anonymity.
Sandeep Aggarwal (Droom and ShopClues Co-Founder) who invested early in the Gurugram-based firm has confirmed the shutdown. Entrackr has written to Devesh Rai G, one of the three co-founders of Wydr for confirmation and more insight. We will update the post as he responds.
Wydr has raised an undisclosed amount of capital across multiple tranches from six investors including Bessemer, Stellaris, Jungle Venture and Aggarwal. Earlier in February this year, it closed a bridge round from existing backers.
Wydr used to be a marketplace for wholesale buying and selling across categories including electronics, fashion, automotive and home. It claimed the presence of 10,000 manufacturers and distributors on the platform with retailers buying from over 2,000 cities.
B2B marketplace segment counts platform such as Indiamart, Power2SME, ShopX, and OfBusiness. However, Udaan has outnumbered them with its fast-paced growth and financial muscle in a short span.
Besides connecting buyers and sellers, Udaan also offers logistics and working capital requirement of small retailers.
Despite there are very few ventures offering wholesale marketplace solutions, none has been able to make a large dent. Going forward, it would be interesting to see how remaining players including Udaan fare up.
Source: Entrackr
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