Delhi based eCommerce logistics services company, Delhivery has raised a Series D round of $85 million led by Tiger Global Management with participation from existing investors, Multiples Alternate Asset Management, Nexus Venture Partners, and Times Internet Limited. This is the company’s fourth round of financing coming less than 8 months after its series C round of $35 million which was led by Multiples Alternate Asset Management in September 2014.
The company will deploy this capital to build infrastructure and design services for eCommerce, hyper-local commerce, C2C commerce and other verticals with specialized requirements such as reverse logistics, furniture and grocery.
Hyper-local deliveries is catching up in India, with startups in this space gaining VC attention. Additionally Flipkart too is trying to pilot a hyper local initiative in Bengaluru, hence it does make sense for Delhivery to enhance its capabilities in this segment.
Launched in 2011, Delhivery is present in 200 cities across the country. It was started by a group of engineers including Amit Prakash, Ambasta, Bhavesh Manglani, Kapil Bharati, Mohit Tandon, Sahil Barua and Suraj Saharan. Currently, the firm handles over 3 million monthly transactions for 70,000+ merchants, 1,500 e-commerce companies and 200 offline retailers across its network.
Firms dealing in the same space include EcomExpress, Holisol, DotZot, GoJaVAS among others. Several of these companies also raised funding around the same time Delhivery did last year. Nonetheless, all these are also competing against India Post as a preferred delivery partner for eCommerce logistics, as it caters to the largest number of pincodes at present. So despite the VC funding being raised by these niche logistics companies, it is to be seen which one emerges out as a leader.