CapGrid, a B2B manufacturing and sourcing platform, has raised Rs 46.28 crore (about USD 4.87 million) in a pre-Series B funding round. Hero Enterprise Partner Ventures led the round as a new investor, according to regulatory filings.
The deal marks a clear step up in valuation for the company, which builds software and supply-chain tools for buyers of precision industrial components. It also brings a large strategic investor onto the cap table for the first time.
The funding round and its investors
Hero Enterprise Partner Ventures invested Rs 38.30 crore of the total, making it the lead and the largest new backer. Existing investors Nexus Venture Partners and Anicut Capital also participated, along with Axilor Technology Fund. Axilor and Anicut put in Rs 3 crore each, while Nexus Venture Partners and Amit Jain contributed Rs 1 crore each.
The board passed a special resolution to issue 2,888 compulsorily convertible preference shares at an issue price of Rs 1,60,263 per share. That structure is common in late-early-stage rounds, where new and old investors subscribe at a single negotiated price.
Use of funds
CapGrid will use the fresh capital for expansion and growth, and to meet additional capital requirements, the filings show. The company has not shared a breakdown of how the money will be split between technology, hiring and working capital.
Read more: Pre-Owned Goods Marketplace Circle Raises Rs 25 Crore in Seed Funding Led by Nexus Venture Partners, another early-stage round backed by Nexus Venture Partners.
Ownership after the round
Nexus Venture Partners remains the largest external shareholder with an 18.08 percent stake after the allotment. Anicut Capital holds 16.40 percent and Axilor Ventures holds 11.94 percent. Co-founders Dheeraj Kumar Tiwari and Himanshu Singh Raghuvanshi each hold 18.63 percent, which keeps the founders ahead of every institutional investor.
Financials and valuation
CapGrid’s post-money valuation rose more than 50 percent to Rs 430 crore (about USD 46 million). That compares with its previous Series A round of USD 5 million led by Anicut Capital in February 2025. A step-up of that size in under two years is a strong mark for a B2B manufacturing platform, and it reflects pricing set by the new lead investor on the largest cheque in the round.
The company is yet to file its FY26 financials. Its operating revenue grew 2.1 times to Rs 209 crore in FY25 from Rs 99.2 crore in FY24. Net loss declined marginally to Rs 25.92 crore in the same period, so revenue roughly doubled while the loss barely moved.
Background and founders
CapGrid was founded in July 2020 by Dheeraj Kumar Tiwari and Himanshu Singh Raghuvanshi. It runs an AI-powered platform for B2B manufacturing and sourcing that connects buyers of precision components with a network of suppliers.
Its customers span automotive, agricultural equipment, earthmoving equipment, aerospace, oil and gas, consumer durables and electric vehicles. Each of those sectors buys precision components with long approval cycles, which makes dependable sourcing a recurring operational problem for manufacturers.
What happens next
The raise gives CapGrid room to widen its supplier network and deepen its presence in the industries it already serves. It operates in a crowded field of industrial sourcing startups, and many players in the segment have found it hard to grow profitably. How well the company turns revenue growth into a narrower loss will shape the pricing of its next round.
