Shiprocket has raised $13 million (about ₹100 crore) in its Series C round of funding, the tech-enabled logistics aggregator said on Monday. The round was led by Silicon Valley-based Tribe Capital LLC, Innoven Capital and existing investor Bertelsmann India Investments.
The latest capital infusion brings Shiprocket’s total funding to $26 million, according to a company statement.
The investment will be used to fuel Shiprocket’s product development roadmap which includes hiring top talent across the data science and engineering domains. The funds will also be focused on the company’s new initiatives including its international expansions. As part of the agreement, Arjun Sethi from Tribe Capital LLC will join Shiprocket’s board of directors.
This additional capital will allow the start-up to accelerate its strategic goals and product development endeavors by hiring top talent in key areas, said Saahil Goel, CEO and Co-founder, Shiprocket.
“The boom in direct to consumer brands and social selling across India has been facilitated by companies like ours who are committed to providing advanced technology and fulfillment solutions to online sellers enabling them to compete with larger brands and marketplaces” said Saahil Goel, CEO and Co-founder, Shiprocket.
Launched by Bigfoot Retail Solutions in 2017, Shiprocket turned profitable in FY 2018-19 with an annualized revenue run rate in $25-30 million range. Shiprocket claims it processes more than 2 million monthly shipments, enabling more than 35,000 entities sell directly to their consumers across India.
Partnering with over 17 logistics providers, Shiprocket’s tech-enabled logistics platform connects merchants, consumers and supply chain partners across 26000 pin codes across India and 220 plus countries and territories globally.
The logistics start-up has previously raised $13 million in funding from existing investors Bertelsmann India Investments, Nirvana Venture Partners, Beenext and 500 Startups who continue to back Shiprocket. The latest round gives nearly 30X returns in 5 years for Shiprocket’s angel investors who exited in this round.
“We invested in Shiprocket because they empower the small to medium businesses that truly represent the heart and soul of any emerging economy,” Arjun Sethi, co-founder, Tribe Capital, said, speaking on the investment.
Shiprocket has enabled the SMEs, which lack capital finance and credit, infrastructure, technology, and marketing strategies, grow at a time of emerging competition enabled by mobile internet and corporations, he added.
This article was first published on livemint.com