B2B Logistics Startup Shadowfax has raised $22 million in Series C round of funding. The funding round was led by US-based NGP Capital. Qualcomm Ventures, Mirae Asset and existing investor Eight Roads Venture also participated in the funding round.
The startup will use the fresh capital for rapid expansion. The startup aims to connect 400,000 delivery and business partners to the platform by 2021 from the current 40,000.
“We are extremely glad that the market has recognised our work and our potential. This latest funding is a manifestation of the investors’ faith in us and our technology. We are ready to take multiple steps forward towards our mission of connecting the next million micro entrepreneurs and suppliers in logistics using a singular platform to bridge the information gap and eradicate inefficiencies across the value chain,” said Abhishek Bansal, CEO, Shadowfax.
Abhishek Bansal addded, “Shadowfax is continuously growing and delivering enviable results in a demanding and burgeoning O2O logistics sector where many other players have not been able to survive. Our technology, Frodo, gives us the edge by driving cost optimisations and enabling us to achieve higher service levels. The unique Shadowfax platform works on the concept of flattening the demand curve across the day which also ensures a much higher earning for our rider partners.”
“The rise in Indian consumers’ expectations for door-step deliveries at a time of their convenience has created a critical need for a national last-mile, independent logistics provider that can serve the needs of these demanding consumers and diverse suppliers at scale. The team at Shadowfax has demonstrated its ability to scale and serve customers using sophisticated mobile technologies and strong execution capabilities to create India’s last-mile logistics leader. We are excited to be a part of Shadowfax’s team and look forward to helping the company continue its rapid growth,” said Upal Basu, Partner at NGP Capital.
“We were impressed by Shadowfax’s ability to deliver efficiencies in the hyperlocal segment by harnessing the power of mobile. We look forward to supporting the company through our investment and enabling collaborations with technical experts, who have domain expertise in mobile, to help the company’s quest towards delivering enhanced user experiences,” said Varsha Tagare, Managing Director of Qualcomm Ventures India.
“As we move into the next phase of Indian O2O story, the market needs efficient and distributed hyperlocal logistics platforms such as Shadowfax that serve evolving customer needs of faster and cheaper product delivery. Shadowfax marks our first of many other investments to follow in India,” said Ashish Dave, Head, India Venture Investments for Mirae Asset.
“Eight Roads Ventures’ backing of Shadowfax in this third funding round reflects our belief in the Shadowfax model and its ability to deliver outstanding results to customers. It’s been a fascinating ride so far, and we are excited to see the next chapter of the Shadowfax story unfold,” said Aditya Gurunath Systla, Principal at Eight Roads Ventures.
Shadowfax was founded by Abhishek Bansal and Vaibhav Khandelwal in 2015. It provides intra-city logistics services to neighbourhood merchants, grocery shops, pharmacies and e-commerce companies. Currently, the startup is present in 80+ cities in India.