The fresh funding round, which comes three and a half years after the company raised $10 million from China’s Alibaba and mobile payments major Paytm, takes its total capital raised to $50 million. “The biggest thing we did well was that we built the company in capital-efficient manner and became ebitda profitable in the last quarter. That is why we were able to command a higher multiple on the valuation,” said LogiNext founder and CEO Dhruvil Sanghvi, explaining the gap in the rounds of funding. He had set up the company along with his wife Manisha Raisighani, who is the CTO, in 2014.
With the fresh capital, LogiNext is looking to double its workforce of 125, of which 100 are in Mumbai, in the next 12 months. The startup is also looking at acquisitions of $3-5 million over the next couple of years.
LogiNext has built an end-to-end logistics management platform which helps companies in automated order management, route optimisation, and post-delivery processing and analytics, among other things. It has about 150 clients, which include companies like McDonalds, Decathlon and Singapore Post, while it is also in talks with 30 Fortune 500 companies to bring them on board as clients. While technology companies like Amazon and Uber are able to invest money to provide solutions, LogiNext’s target is traditional organisations which comprise 95% of its clients.
The new round will also see the exit of its angel investor Sanjay Mehta, who has recently set up venture firm 100X.vc. “In 2015, when we invested in LogiNext it was poised for accelerated growth, I used to call them Google for shipments & they have been true on their business plans. It is rare to see founders being able to walk the talk,” said Mehta.
