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Scoop: UK-based Amazon rival OnBuy to raise fresh cash of £30M

OnBuy founder
Image credits: OnBuy

UK has now become the third-largest e-commerce market globally, with numerous homegrown marketplace startups driving e-commerce trends for 2021 and beyond. One of them is OnBuy which claims to be the fastest-growing e-commerce marketplace globally and the fourth biggest in the UK according to the UK Marketplaces Rankings, with only Amazon, eBay and Etsy ahead of them.

Now UKTN has learnt that OnBuy is in the process of closing around £30 million funding round very soon. A significant source close to the deal informed that OnBuy in an advanced stage of completing a double-digit round (that could be around £30 million). Today, the startup has also started sending out invites to the journalists to announce the results of a significant fundraise.

OnBuy.com is one of the portfolio companies of London-based VC firm Fuel Ventures, and the UK-based e-commerce business last raised a £5 million Series A investment in 2020, which Fuel Ventures led.

Recently, Fuel Ventures, which is an early-stage UK venture capital investing in fast-growing digital tech businesses also unveiled£45M in funds for early-stage tech startups in the country. As per the company press release, the fund will be distributed in the next 12 months to over 60 early-stage digital startups. At the same time, Fuel Ventures also announced its commitment to extend support to pre-seed companies through this new fund. 

Founded in the Poole, Dorset in the UK in 2016 by entrepreneur Cas Paton, OnBuy.com, an online marketplace is edging closer to achieving unicorn status with a valuation of $1B. The company works with the mission to revolutionise the e-commerce industry with a fair, transparent, and ethical marketplace that benefits both sellers and buyers. The British company is already valued at £180M and has a team of around 75 employees. After achieving over 600% growth for the third consecutive year in 2020, the online marketplace is now focusing on gaining market share.

Watch this space for more updates.