Singapore-based fashion platform Zilingo has acquired Sri Lanka-based software-as-a-service (SaaS) firm nCinga Innovations for $15.5 million in cash and stock, marking one of the largest tech exits in Sri Lanka in recent times.
nCinga, which is backed by Sri Lanka and Singapore-based venture capital firm BOV Capital, uses IoT technologies, real-time event capturing and processing, predictive analytics, and mobility devices for a ‘smart factory’ transformation.
The company said its platform – nFactory – allows organisational data to be collected, integrated, connected, searched, visualised, and analysed in real-time. The platform has already been deployed across factories in Sri Lanka, Bangladesh, India, Indonesia, Thailand, Singapore and Vietnam.
“What excited us about the nCinga product was their ability to dramatically improve efficiency and drive insights by digitising the shop floor,” said Ankiti Bose, co-founder and CEO of Zilingo.
In a statement, Zilingo said the acquisition will drive the adoption of the Manufacturing Executive System (MES) software across its global network of 6,000 factories and 75,000 businesses. The MES software automates operations on the factory floor by enabling access to real-time data on the go.
Zilingo plans to leverage its global manufacturer network to increase distribution of the software – specifically for core fashion manufacturing markets such as Bangladesh, India, Vietnam, Indonesia, Thailand and Turkey among others.
It added that the acquisition will bring more features to the company’s customers in the United States, Europe and Australia, where brands traditionally lack transparency over the supply chain and manufacturing processes.
In October, the company announced plans to invest $100 million to expand into the US as part of an accelerated growth strategy into new markets, including Australia, Europe, and the Middle East.
Founded in 2015, Zilingo last raised $226 million in a Series D round in April, joined by existing investors Sequoia Capital, Burda Principal Investments and Sofina, as well as new investors Temasek Holdings and EDBI. The company was believed to be valued at close to $1 billion at the time.