Ahmedabad: Cross-border B2B manufacturing and supply chain enablement platform for building materials Magma has raised pre-seed funding of $515k funding led by WEH Ventures with participation from All in Capital, PointOne Capital, Angelist India, and marquee angels including Revant Bhate (Man Matters), Subin Mitra and Pratik Tiwari (Groyyo), Pawan Gupta and Abhishek Sharma (Fashinza) and more. Magma is a tech-enabled manufacturing platform in building materials with a vision to enable growth across all levers for its partner factories. The funding will be used to scale the team across manufacturing clusters in India and invest in products and technology.
Magma is a global supply-first aggregator in the building materials industry with a mission to take small and micro manufacturers global. The company’s product includes a factory app that helps partner factories by giving them more demand through its AI-based lead generation tool, access to global buyers, 1-click procurement of cheaper and quality raw materials leading to better conversion and retention, and easy-to-use technology to standardize their factory floors. Magma has already onboarded over 55 factories and is set to close its first quarter of business with an annualized GMV run rate of 3 million dollars.
Magma was founded in Feb 2022 by Neal Thakker, a recent graduate with a background in the building materials industry having previously worked at MSI surfaces and AGL Tiles.
Neal Thakker said, “The SME manufacturing ecosystem serves as the daily breadwinner for our global economy, yet continues to struggle due to no bandwidth in technology, operations, and capacity utilization. As a sourcing manager and merchant exporter myself, I have spent considerable time with these factories and seen the first-hand reality of their aspirations to sell their products all over the world. We realized their need for a partner like us and are excited to cater to millions of manufacturers in the times to come.”
Rohit Krishna, Partner at WEH Ventures, added, “We believe that manufacturing is going to be a key driver in the next leg of growth for India, and China plus one policy is acting as an accelerant to this trend. We understand that each industry within the SME manufacturing sector is unique and the key is to find a strong wedge to keep the supply-side engaged and happy. On that note, Neal has been one of the most agile founders we have ever met; every week he not only brings new insights to the table on what the industry needs but he also turns those ideas into a product and deploys it incredibly quickly.”
The global building materials market is poised to hit a $1T market by 2026, with SME’s aiming for a $200B mark.