2 Business-to-Business Platforms Secure Millions in Funding

New York—Two business-to-business jewelry marketplaces recently announced that they have secured millions of dollars in funding.

London-based Nivoda, which operates a diamond and gemstone marketplace, raised $30 million in a Series B funding round.

It was led by Avenir Growth Capital and joined by existing investors Headline and Abstract Ventures, with the addition of Canaan Ventures.

“We’re on a mission to create a one-stop shop for jewelers, and this funding represents a crucial milestone in achieving that vision,” said David Sutton, co-founder and CEO of Nivoda.

Andrew Sugrue, partner at Avenir Growth Capital, highlighted the platform’s unique position in the market.

“We are thrilled to back Nivoda as they build the largest global marketplace for the jewelry industry. Nivoda serves a huge unmet need in the market, evidenced in their best-in-class retention characteristics,” he said.

Taylor Brandt, principal at Headline, described the company as “a staple to both suppliers and diamond buyers around the world with countless opportunities for expansion."

In announcing this latest round of funding, Nivoda highlighted recent milestones, including a 140 percent year-over-year increase in revenue in December. 

Its active customer base has been expanding, up 162 percent year-over-year, while its order count grew 124 percent.

Nivoda has plans for the new funding, including customer growth, market expansion, global outreach, and category expansion.

It also wants to enhance the customer experience through product enhancements and fulfillment optimizations.

Recently, the company debuted Nivoda Express, a new fulfillment service which enables two- to three-day delivery on select stones.

It has another project in the works, Memo/Appro, which would allow retailers to display and sell jewelry items in their stores without buying them outright from suppliers. It’s expected to be available sometime this year.

To support these goals, Nivoda said it plans to double the size of its team over the next year.

Another business-to-business platform connecting suppliers and retailers, Liquid Diamonds, has raised additional funding.

Liquid Diamonds, a New York-based diamond sourcing platform, secured $1.1 million.

The funding round was led by select members of the New York Angels, a group of New York-based financiers who “believe the diamond industry has been left behind compared to other industries, such as automotive, finance, and pharmaceuticals,” said the company.

Liquid Diamonds said its goal is to bring price transparency and liquidity to diamonds, letting diamond buyers buy at fair market value while suppliers can liquidate their inventories.

Its reverse auction system gives retailers access to global suppliers, sourcing stones from small diamond manufacturers in India and Botswana.

“Our vision is to democratize the diamond market, where buyers always get a fair market value regardless of whether they are buying five or 500 diamonds,” said Kashyap Mehta, CEO of Liquid Diamonds.

“This enhanced focus on retailers is an exciting evolution not only for Liquid Diamonds, but for the industry as a whole. Our team worked to streamline the platform for greater usability, and we are happy to report we are already seeing an increase in both time spent on the platform as well as a strong ROI in terms of new retailer clients taking advantage of our diamond buying services.” 

Donna Redel, a member of the New York Angels and Liquid Diamonds’ board of directors, said she is “optimistic about the future of the diamond industry, as modern technology is slowly being accepted by a dated industry that is not currently data-rich.”

Technology and data can benefit every part of the value chain, she said.