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Indian agri-finance startup Ono raises $1.2m
Ono, an Indian agri-finance startup, has raised US$1.2 million in a pre-series A round led by Aeravti Ventures, with Angels and Tremis Capital also investing.
The company is expanding lending operations across India after acquiring a significant stake in a non-banking finance company.
This is Aeravti Ventures’ second investment in ONO after leading its seed round.
ONO said it operates across 12 India states and serves more than 130,000 participants.
The company said the new funds will go toward its technology platform, expansion into new markets, and lending infrastructure.
The company is also preparing for a larger series A round.
🔗 Source: Aeravti Ventures
🧠 Food for thought
Implications, context, and why it matters.
Ono’s platform brings India’s farm wholesale markets online
- ONO aims to improve how farmers connect with mandis, India’s traditional wholesale agricultural markets 1.
- Its tools include “ONO Connect” for checking prices and finding markets, plus “ONO Cash” for access to credit 1.
- The company also runs “ONO Click,” a software-as-a-service product for commission agents and traders, along with “ONO Mandi,” a mid-mile trading platform that moves produce from farms to end markets 1.
- Others are taking a similar path. Jai Kisan, a rural neobank focused on rural customers, got a non-banking finance company (NBFC) license in 2024 after buying a majority stake in supply chain financing company Kushal Finnovation Capital 1.
Smaller rounds still add to a farm tech sector that needs funding
- India’s agritech sector logged 28% more deals last year than in 2023 1.
- This round is small, though it adds to a market where fruit marketplace Vegrow raised US$46 million in a series C round, including primary and secondary funding, while DeHaat has raised more than US$270 million overall 1.
- Funding has kept flowing even with losses. DeHaat’s consolidated net loss grew 3.76% to 11.3 billion rupees (US$136 million) in FY24 from 10.9 billion rupees (US$131 million) a year earlier 1.
- Investors still seem willing to back the long shift toward digital tools in India’s farm economy, with scale and market share ahead of near-term profit 1.
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