Ecommerce logistics startup Ecom Express raises over Rs.100 Cr funding from Peepul Capital
After ecommerce majors, now investors are showing appetite for logistics ventures dedicated for ecommerce companies. Ecom Express Private Limited, one of India’s fastest growing, e-commerce dedicated logistics solutions providers has secured a fund of over Rs.100 Crore from Peepul Capital. With this new funding, the Company plans to grow its distribution capabilities even faster by expanding operations and reach. The startup plans to expand its current footprint of 190 locations to 800 plus locations in the next 5 years, achieving nationwide coverage.
Earlier this week Gurgaon based Delhivery closed a $35 million round of funding. The Series C investment led by Renuka Ramnath-led private equity firm Multiples Alternate Asset Management along with existing investors.
Ecom Express delivered nearly 5 million packages last year and has 3,000 employees at present on board. The Delhi based company expects to deliver about 20 million packages this year. Last year, Ecom Express had raised angel round of funding led by Oliphans Capital who specialise in early stage investments.
“The infusion will go towards strengthening Ecom Express’s current reach, expanding operations, investing in technology and automation, attracting key talent and to build a healthy flow in working capital,” said the company’s Co-Founder and CEO, TA Krishnan.
“With the intention to become an enabling partner and make significant contributions to the growth of the e-commerce industry, we are confident that this fund infusion will provide the impetus to achieve our company’s vision and drive our growth plans in a more focused manner,” added Krishnan.
The India online retail market is growing at an explosive rate and research shows that it is projected to grow from $3 billion in 2013 to $ 23 billion by 2018. This opens up huge demand for logistic services, offering tremendous opportunities for dedicated solutions providers like Delhivery and Ecom Express. The Company has continually focused on building its capacity and strength in service fulfilment, reverse logistics, technology and automation, and COD (Cash-On-Delivery) management.
With trained and qualified industry professionals in senior management, Ecom Express has a good understanding of the end consumer needs and offers customized and innovative solutions to its e-commerce customers. Ecom Express’ unique delivery models have ranged from ‘try and buy’, same day delivery and branded delivery and as well as catering to flexible remittance cycles.
Speaking about thesis behind investment, Srini Vudayagiri, Investment Director at Peepul Capital Advisors, said “The e-commerce industry is growing quickly and logistics is a critical component of the value chain. There is a tremendous opportunity for a dedicated logistics player who can understand and play an enabling role for the e-commerce industry. Ecom Express is strongly positioned to leverage this opportunity given their track record and the experienced leadership team behind the Company,” he said.
Website: Ecom Express
