Thai logistics startup Giztix has raised $10 million in a Series B funding round co-led by the logistics and industrial facilities firm WHA Group and Bualuang Ventures, the corporate VC arm of Bangkok Bank.
The $10 million investment includes secondary share purchases, Giztix said in a statement on Wednesday.
WHA Group and Bualuang Ventures each injected $3 million in the round, WHA said in a separate announcement.
Filings made by Giztix to Singapore’s Accounting and Corporate Regulatory Authority, reviewed by DealStreetAsia, show that the two lead investors were allotted 27,819 shares each at a price of $107.83 per share.
Giztix’s existing backers AddVentures by SCG, and KK Fund, also participated in the latest round alongside Japan-based VC firm CAC Capital — a new investor.
The new investment will help Giztix expand across Thailand and support logistics operators with their digitalisation journey.
Sittisak Wongsomnuk , CEO and co-founder of Giztix, said the company will develop more comprehensive transportation services and technologies in addition to investing in marketing and sales, to maintain profitability in parallel with business expansion.
He added that Giztix aimed to list on the Stock Exchange of Thailand by 2025.
“The COVID-19 outbreak in 2020-21 has encouraged businesses to increasingly turn to online services. As a result, the number of transport trips managed through the GIZTIX platform has increased by more than 420%, or more than 500,000 transportation trips per year,” he said.
Road transport in Thailand is a $19 billion market, but there is still a lack of digital systems to connect data and provide real-time communications, according to the CEO.
WHA expects that the investment in Giztix will create more value for its products and services in smart warehousing, and applying latest technologies such as robotics and automation, 5G connection, and AI in business to enhance efficiency and reduce costs in the long term.
Meanwhile, Bualuang Ventures will leverage Bangkok Bank’s resources to bring in financial technology to further enhance services on the Giztix platform, including digital lending for drivers, working capital for entrepreneurs on the platform, as well as analysing payment data to develop future solutions.
“This will provide greater access to financial services for platform users and strengthen the competitive edge for small logistics operators, while increasing the ability to respond to future needs of the e-commerce sector,” commented Bualuang Ventures managing director Krit Phanratanamala.
Giztix had earlier raised a total of $3.4 million through its seed and Series A round in 2016 and 2017 respectively from Wavemaker Partners, 500 TukTuks and other investors.