Deal Street: Essel Group Infuses $43.5 Million In Bus Pooling App
Five Indian startups raised about $120 million, or about Rs 800 crore, in angel, seed or venture capital funding across areas such as shared mobility, education and business-to-business e-commerce, among others, last week.
While startups based out of Bengaluru led the investment pack, those in the shared mobility space garnered most investor interest.
Essel Group Unit Leads Rs 300-Crore Round In ZipGo
Bus pooling app ZipGo raised Rs 300 crore (around $43.7 million) in fresh funding from the Subhash Chandra-led Essel Group.
Essel Green Mobility Ltd., a subsidiary of Essel Group’s infrastructure arm Essel Infraprojects Ltd., will make the investment, the Bengaluru-based firm said in a statement.
ZipGo, which offers intra- and inter-city bus services, said about Rs 200 crore has already been pumped in. The funds will be used to expand its fleet and network, besides transition to a completely electric fleet.
Essel will invest the balance amount over the next 12 months to add electric rickshaws on ZipGo’s platform. Essel Infraprojects said the investment was in line with its strategy to foray into the electric vehicles segment this year.
ZipGo operates in Bengaluru, Delhi-National Capital region, Hyderabad, Jaipur and Mumbai.
Hong Kong’s Fung Group Invests In B2B E-Commerce Platform ShopX
ShopX, a business-to-business e-commerce platform for small retailers, raised $35 million (around Rs 240 crore) in a fresh funding round from Hong Kong-based Fung Holdings.
The Bengaluru based firm, which counts Infosys Co-Founder Nandan Nilekani as its investor, said it will use the funds to invest in product and technology verticals and to develop new offerings for small retailers.
Run by 10i Commerce Services Pvt. Ltd, ShopX was founded in 2014. The B2B venture helps local kirana store owners and small retailers conduct transactions on a single platform. It operates in three categories—food and groceries, electronics and digital services.
ShopX has more than 50,000 retailers on its network and is present in 300 towns and cities, it said.
Shadowfax Raises Fresh Funds From U.S.-Based NGP Capital
Bengaluru-based logistics startup Shadowfax raised $22 million (Rs 151 crore) in a growth round led by U.S.-based investment firm NGP Capital.
Qualcomm Ventures, Mirae Asset and existing investor Eight Roads Venture also participated in the funding, a company statement said.
The funds will be used to expand operations, the company said. It aims to connect 4 lakh new businesses and delivery partners by 2021, up from 40,000 connections now.
Founded in May 2015, Shadowfax provides intra-city logistics services to neighbourhood merchants, grocery shops, pharmacies and online retailers.
Shadowfax is present in 80 cities and towns. It now plans to expand to over 100 cities in the next three months.
Two-Wheeler Rental Startup Raises $12.2 Million
Metro Bikes, online motorbike and scooter rental firm, raised $12.2 million (Rs 83.6 crore) in a funding round jointly led by Sequoia Capital India and Accel Partners.
The company has also announced a change in its brand name from Metro Bikes to Bounce, according to a statement.
The company said it will offer a dockless scooter sharing service allowing users to pick up a two-wheeler from anywhere, ride to their destination and drop it off at any location.
The company aims to expand its services to all major cities by 2020. Besides Bounce, the company also operates WickedRide—its premium motorbike rental platform.
- Bengaluru-based e-learning platform Quizizz raised $3 million in a funding round led by Nexus Venture Partners. Prime Venture Partners and Nexus Venture Partners also participated in the fundraising programme, the company said in a statement.
- Bengaluru-based real-time mobile management application Hansel.io raised $4 million in a round led by Vertex Ventures. IDG Ventures and Endiya Partners also participated in the fundraising. The startup plans to use the proceeds to fund its overseas expansion plans, especially into the U.S.