Delhi-based Ecom Express, a last-mile delivery logistics solutions provider has raised $133 Mn (INR 850 Cr) from an affiliate of global private equity firm Warburg Pincus. After the ecommerce boom, now investors are busy funding in startups that provides services to ecommerce companies.
Started in 2012 by Krishnan, Sanjeev Saxena, K. Satyanarayana and Manju Dhawan, Ecom Express Private Limited have become one of India’s fastest growing e-commerce dedicated logistics solutions providers. They serve 2800+ pin codes through their 320+ delivery centers located across India. They have 8,000 employees in approximately 210 cities.
“There is a significant need for logistics capacity in India to serve the requirements of the ecommerce industry, and businesses are seeking reliable service providers who can scale up with them. We are excited to partner with a highly-regarded management team with deep domain expertise, in a sector with significant growth potential. We look forward to supporting the management of Ecom Express and building on their success.” said Viraj Sawhney, managing director, Warburg Pincus India.
TA Krishnan, chief executive of Ecom Express said in the statement, “We are delighted to welcome Warburg Pincus as our partner. The infusion of capital will help us expand our delivery footprint in Tier III, IV towns and rural centers across the country. Besides expanding reach, the company plans to invest in technology, deploy advanced parcel sortation systems, strengthen network reliability and infrastructure, and finally, build the second level management team. These initiatives will help us deliver superior customer experience and build a scalable business. We look forward to leveraging Warburg Pincus’ domain expertise in logistics and the firm’s global network of relationships.”
With the fresh funding, Ecom Express aims to serve more than 10,000 pin codes covering 1,500+ Indian towns and cities in the next few years. They also plans to expand to tier 3 and 4 towns and cities, enhance technology and strengthen infrastructure.
Since all the co-founders have deep expertise and rich experience in courier and logistics industry, Sahney said, “We are excited to partner with a highly-regarded management team with deep domain expertise, in a sector with significant growth potential.”
Ecom Express recently secured a fund of $16 Mn (INR 100Cr) in September 2014 from Peepul Capital. After the funding, they have significantly expanded their operations and reach throughout the India.
Recently, another logistic solution provider startup Delhivery raised Series D round of $85 Mn from Tiger Global Management along with existing investors – Multiples Alternate Asset Management, Nexus Venture Partners and Times Internet Limited.