After raising $2.5 M, Jugnoo in talks to acquire Pune-based AutowaleJai Vardhan
[Update - We had earlier reported that Jugnoo has acquired Autowale. However(based on the latest input from Autowale co-founder), the deal is still in final phases and the acquisition is not yet complete.]
Chandigarh-based autorickshaw aggregator Jugnoo is in talks to acquire Pune-based Autowale in an all-equity deal. According to YourStory’s sources, the deal is worth a million US dollar. Samar Singla, Founder and CEO of Jugnoo, confirmed the acquisition over the phone from Dublin.
Founded by two IIT-Kanpur alumni, Mukesh Jha and Janardan Prasad, in 2012, Autowale is operational in Pune. In an email response, Autowale has denied the acquisition news.
The acquisition will give a strong foothold to Jugnoo in Pune and it can leverage its experience in Mumbai and overall Maharashtra. Earlier in July this year, Jugnoo had acquired Mumbai-based taxi aggregator BookMyCab.
Jugnoo is using auto-rickshaws to revolutionize hyperlocal commerce. Besides offering on-demand auto-rickshaw, it enables B2B hyperlocal deliveries like food, grocery, and veggies among others via its own network of auto-rickshaws.
Started in November last year, the company claims to process over 15,000 orders on a daily basis. Recently, Jugnoo also halted its B2C hyperlocal delivery to focus on its core business.
Last week, media had reported that Jugnoo had raised $10 million led by Paytm. However, according to our sources, the company had raised only $2.5 million after raising $5 million Series A from Paytm and Snowleopard earlier this year. Of the $10 million round promised by Paytm , Jugnoo has received only $2.5 million tranche.
Recently, Jugnoo has acquired Yelo, a peer-to-peer mobile platform, to tap the potential of content discovery, and Chandigarh-based Bistro as well. Bistro provides DIY platform for broadcasting offers and managing loyalty for any restaurant or a chain of restaurants.
Jugnoo is foraying into the global market and has chosen the Philippines to be the first destination. The company has already stationed a few employees in the Philippines to foster partnerships.
For the Philippines launch, Jugnoo is in talks with some prominent business houses there to enter via a joint venture. During an earlier interaction with YourStory, the company had claimed to grow 70 per cent on a monthly basis.