The agritech startup TaniHub Group reportedly secured $65.5 million (over 940 billion Rupiah) Series B funding led by MDI Ventures. According to DailySocial’s source, participated also in this round, UOB Global Capital, Vertex Ventures, Telkomsel Mitra Inovasi, BRI Ventures, Add Ventures, Flourish Ventures, Intudo Ventures, Openspace Ventures, Tenaya Capital, and others.
This round has brought TaniHub’s valuation up to over $200 million.
One of the investors showed the “green signal” on the news and mentioned this investment is the company’s commitment to advancing the agricultural industry in Indonesia with a technological approach.
Previously, TaniHub management had boasted about the investment round the company was raising earlier this year. TaniHub Group’s Co-Founder & CEO, Pamitra Wineka said that investors in this round was very enthusiast, the value even oversubscribed from the initial target.
“We want to give this fund back to Indonesian farmers. We want to expand where we can reach more farmers, hopefully further to Papua,” he said.
TaniHub announced the Series A round in April 2020 worth of $17 million led by Openspace Ventures and Intudo Ventures.
In an official statement the company anounced today (5/21), Pamitra said, “[..] Furthermore, we plan to strengthen our role in every region in Indonesia to be closer to farmers and the community. Therefore, what we do at least to reduce the price disparity between farmers and consumers.”
MDI Ventures’ Portfolio Director, Sandhy Widyasthana added, “[..] MDI will continue to focus on investing in technology startups with big role in various sectors that influence people’s lives and can make a big difference in Indonesia. MDI considers TaniHub Group as having a big role in agriculture and has proven that its existence can have a positive impact on improving the quality of life for Indonesian farmers [..]” he said.
This year, TaniHub Group is increasingly expanding, also through the launching of the NFC (National Fulfillment Center) in Cikarang to provide agricultural supply chain infrastructure that can support national and global market demands. The NFC is ready to serve inbound and outbound to other islands outside Java and Bali as well as foreign markets.
On an area of 12,000 square meters, there’s a large capacity for cold storage and it accommodates non-fresh products such as groceries and processed food from various brands. In addition, the company is building more regional distribution facilities (DC), processing and product packaging centers (PPC), poultry processing centers (PPC), and rice mills at various points.
It is located in some areas, including North Sumatra, Riau, Palembang, Lampung, Banjarmasin, Banjarmasin, Manado and Makassar. Currently, the fully-operated PPC location is in Malang, which supports the supply chain of various regional distribution facilities spread across five cities, including Bogor, Bandung, Kartasura, Surabaya and Denpasar.
Last April, the company exported 14.5 tons of watermelon from its farming partners in Lampung to the United Arab Emirates. In this country, it is predicted that the potential for sustainable demand from the UAE market will reach 156 tons per month.
They also target other countries to export fruits, such as pineapples, bananas, mangoes and oranges, including Singapore, Taiwan, South Korea and Malaysia with a capacity of 1,000 tons per month with an export value of IDR 15.31 billion this year.
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Original article is in Indonesian, translated by Kristin Siagian
