India: Autorickshaw-hailing app Jugnoo raises $3m in series B funding led by Paytm

Visual from the company website

Jugnoo, a hyper-local online marketplace which facilitates autorickshaw rides and food and grocery deliveries through autorickshaws, on Tuesday said it had closed its Series B round of funding of $3 million from Paytm (One97 Communications Ltd), with participation from individual investors like Kunal shah, chief executive officer, Freecharge, to expand nationally.

The Chandigarh-based firm had earlier raised $5 million in a Series A funding round from Snow Leopard Technology Ventures with participation from Paytm. Prior to this, in May, it raised $1 million from angel investors including Rakesh Mathur, CEO of Flywheel and co-founder of Jungle (which was later acquired by Amazon), actor Saumya Tandon, angel investor Vikas Taneja and Just Weil, an investor in Facebook and Yandex.

The company, founded in 2014, operates in 22 cities, and claims that its platform, which lists 3,300 autos, has 15,000 daily transactions and about one million users.

Jugnoo aims to be in 40 new cities by the end of 2015, according to a statement released by the company.

“Jugnoo is trying to solve a very fundamental problem. Given their grasp of the auto-rickshaw space and their current traction, it just reconfirms that there is a huge potential in aggregating autos,” said Vijay Shekar Sharma, CEO, Paytm.

The company faces stiff competition from online taxi hailing services such as Ola and Uber, which recently launched autorickshaw services in Delhi.

The company also operates Jugnoo Meals, a food-delivery service and Jugnoo Fatafat, a grocery-delivery service. It uses its fleet of autos as a logistics network for deliveries.

In the home-cooked food segment, Jugnoo will have to battle other Internet kitchens such as FreshMenu, SpoonJoy and Yumist, while its hyper-local delivery business faces competition from Grofers and PepperTap.

It has also acquired online taxi booking platform BookMyCab in a cash and stock deal, in a bid to enter the online taxi-hailing space and take on its bigger rivals.

Also Read: India: Paytm invests $10m in autorickshaw-hailing app Jugnoo

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This article was first published on Livemint.com

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.