Pune-based logistics tech startup ElasticRun has raised around ₹60 crores in a fresh funding round led by existing investors Norwest Venture Partners and Kalaari Capital, as reported by VCCircle.
Post investment, the startup’s valuation is pegged at around ₹440-480 crores ($60-65 million).
It has not yet been ascertained if the fundraising is part of a larger round. The development has not yet been confirmed by either of the involved parties.
ElasticRun, operated by Ntex Transportation Services, was founded by Sandeep Deshmukh, Saurabh Nigam, and Shitiz Bansal in 2015. Sandeep Deshmukh, is an alumnus of IIM-A, with previous stints at Amazon and Apple. Other co-founders Saurabh Nigam, a civil graduate from Delhi College of Engineering (DCE), has previously worked at EdgeVerve and Infosys, while Shitiz Bansal is an IIT-BHU graduate.
The logistics startup provides an asset light, variable capacity transportation network. It leverages technology to build aggregate transportation capacity precisely in tune with variations in demand.
ElasticRun eliminates high fixed set up costs by aggregating resources across channels while reducing transportation expenses for customers by eliminating wastage in transportation capacity.
The startup last raised $7 million in a series A funding round from Norwest Venture Partners and Kalaari Capital in April 2017. Other players in the logistics space competing with ElasticRun include Rivigo, BlackBuck, 4tigo, TruckEasy, and GoBOLT, among many others.
Earlier this week, New Delhi-based B2B logistics startup GoBOLT raised ₹40 crores in series A funding round from impact fund advisory firm Aavishkaar. It was also reported that e-commerce logistics startup Delhivery is in talks with Softbank to raise ₹1,800 crores. In August 2018, logistics tech startup WheelsEye raised ₹7 crores in a funding round led by Prime Venture Partners. Another logistics startup LEAP India raised ₹200 crores in debt funding.
According to the Economic Survey 2017-18, Indian logistics sector, which is currently worth $160 billion, is expected to grow at a CAGR of 10.5% to reach $215 billion by 2020, owing to the implementation of GST. With other sectors like agriculture and e-commerce, dependent on logistics for growth, will further propel logistics startups towards a growth trajectory.