New Delhi-based logistics management startup FarEye is raising around ₹180 crores in a fresh funding round from new and existing investors, according to the company’s MCA filings. The company has passed a board resolution to issue equity and preference shares to four investors worth $24.49 million.
The company is allotting Series D shares for $244.52. 10 equity shares and 40,866 preference shares will be bought by Microsoft Corporation (M12). 10 equity shares and 20,438 preference shares will be bought by Honeywell Venture Capital. 18,403 preference shares will be taken up by existing investor SAIF Partners in two tranches. 10 equity shares and 20,438 preference shares will be bought by Eight Road Ventures.
The fresh funding will help the company to scale its business activities. Furthermore, FarEye has expanded its ESOP pool to 36,385 shares, 6.81% of the total equity capital. Earlier, the startup raised ₹81 crores from SAIF Partners and Deutsche Post.
Founded by Gaurav Srivastava, Kushal Nahata and Gautam Kumar in 2013, FarEye is a SaaS mobility platform that solves complicated last-mile delivery issues. The startup’s automation software lets companies schedule and dispatch jobs, monitor execution and analyzes performance in real-time.
The startup’s product has multiple use cases including warehousing, first-mile pick-up, milk runs, on-demand solution, reverse pick-ups, etc. The startup currently provides mobility solutions to 100 logistics and supply chain companies across five continents. It claims to have a 280% increase in ARR year-on-year. It also claims to handle 10 million transactions per day across more than 20 countries for more than 150 B2B clients.
Amidst the Coronavirus pandemic, the startup has announced to work with global companies to equip them with home delivery optimization software that will help to handle the surge in home deliveries demand. It will help them to quickly onboard part-time drivers and make deliveries contactless.
B2B logistics startups have grown significantly in the country with some notable names being Delhivery, Blackbuck, and Shadowfax. The market value of the industry stands at $160 billion and will cross $215 billion marks by the end of 2020, according to the Ministry of Finance.