Bizongo, a vendor digitization platform backed by Tiger Global, has announced its acquisition of FactoryPlus, a Factory digitization app designed for micro, small, and medium enterprises (MSMEs). FactoryPlus, which enjoys support from Titan Capital, specializes in offering mobile solutions aimed at revolutionizing the operational framework of MSMEs.
The strategic move brings together the co-founders of FactoryPlus – Vatsal Rustagi, Sparsh Koyarala, and Bikash Dash – along with their team into the Bizongo family. This acquisition is a continuation of Bizongo’s expansion strategy, following its previous acquisitions of Clean Slate Technologies, a provider of Internet of Things and real-time location services based in Mumbai, and Hexa, a cloud platform from Bengaluru focused on college placements.
The acquisition is timely for Bizongo, coming on the heels of its nearly $50 million Series E funding round. The round saw participation from a slew of prominent investors including Swiss private equity firm Schroder Adveq, International Finance Corporation, Chiratae Ventures, B Capital, and British International Investment.
Bizongo plans to seamlessly integrate FactoryPlus’ innovative mobile-first software-as-a-service (SaaS) features. These include advanced factory inventory management, access to real-time raw material pricing, an informative news feed, and digital catalogues. The integration is poised to offer local manufacturers a robust AI-powered solution for sourcing raw materials and will also enable embedded financing options.
Highlighting the strategic importance of the acquisition, Sachin Agrawal, co-founder and CEO of Bizongo, emphasized the necessity of digital processes and automated technologies for vendors to remain competitive. Agrawal sees this acquisition as a critical step towards empowering manufacturers with customized solutions such as digital raw material consolidation and integrated financing, enhancing their contribution to the country’s economic landscape.
FactoryPlus, established in 2021, has positioned itself as a pivotal operating system for manufacturers, focusing on making factories more intelligent, efficient, and cost-effective. The company has shown impressive growth, registering a 40% month-on-month increase and amassing over 4,000 factories on its platform. FactoryPlus primarily serves industries such as metals, plastics, and paper, which collectively represent a significant portion of the raw material demand from MSMEs on the platform. With Bizongo’s acquisition, early investors Better Capital and Titan Capital are set to exit the company.
