The deal was a combination of primary and secondary capital infusion from Mahindra Logistics Limited
MLL presently offers services to more than 400 corporate customers across various sectors such as automobile, engineering, consumer goods and ecommerce
Whizzard states that it has augmented 10X in the last three years and catered to more than 3000 pin codes
Anand Mahindra-led Mahindra Logistics Limited (MLL) has acquired a 60% stake in a Telangana-based logistics service startup Whizzard for INR 72 Cr ($9.5 Mn approx). As per a media report by Mint, the deal was a combination of primary and secondary capital infusion from MLL.
The deal will help MLL, a listed company to further strengthen its presence in the logistics space. Whizzard, which is operated by ZipZap Logistics, was founded by Ankit Madhani and Arun Rao. The startup administers an intra-city distribution network for digital commerce and last-mile delivery and manages 60 Mn packages per year.
“Last mile delivery and fulfilment continues to see strong tailwinds with increased digital adoption, expanding delivery networks and onset of quick commerce. This association will enhance and strengthen our existing presence for our customers in ecommerce and other segments. The Whizzard team has built deep capabilities and delivered strong growth till date,” said Rampraveen Swaminathan, MD and CEO,Mahindra Logistics.
Whizzard states that it has grown 10X in the last three years and catered to more than 3000 pin codes, thus, rendering customers with its full-stack digital capabilities and micro-distribution centres.
As per a RedSeer’s report, the Indian road logistic market is rapidly growing. It is further estimated to rise at a compounded annual growth rate of 8% in the coming five years thus, reaching $330 Bn by 2025.
MLL presently offers services to more than 400 corporate customers across various sectors such as automobile, engineering, consumer goods and ecommerce. It adheres to an asset-light model, thus, offering customised and tech-enabled solutions to customers.
“Mahindra Logistics is one of the most respected logistics companies in India. We believe that being downstream to this and respected brand with a large customer base is a significant strategic advantage for a last-mile delivery company like us. We are thrilled to join hands with Mahindra Logistics and look forward to rapidly scaling our business in the coming years,” said Ankit Mandhania and Arun Rao, cofounders of Whizzard.
As the country’s logistic sector is burgeoning, several developments have occurred lately.
Earlier in January this year, B2B logistics platform, Rocketbox got acquired by ecommerce shipping platform, Shiprocket. With this deal, Shiprocket would reduce shipping costs and enhance customer experience on its platform.
In the logistics space, another distribution and logistics startup Ripplr raised $12 Mn in a pre-Series B funding round with a mix of debt and equity funding. The startup decides to use the freshly infused capital towards product development, attracting new talent and expanding to new markets.
In the last part of 2021, transportation and logistics focussed EV startup, 3EV Industries also raised $2 Mn in its seed funding round from various family offices. The startup stated that it would deploy the funds for new vehicle build and R&D in order to indigenise and internalise part manufacturing.
