With Venture Catalysts, Dream Incubator and James Lee Sorenson as new investors, the start-up plans to utilize the latest investment on bolstering innovation and expansion.
Catbus Infolabs Pvt. Ltd, the Bangalore-headquartered intra-city tech-logistics company that operates Blowhorn, today announced that it has successfully raised an undisclosed round of fresh funding. The current round saw participation from existing investors Chiratae Ventures and Dell Foundation as well as new investors that include Venture Catalysts, James Lee Sorenson and Japanese VC firm, Dream Incubator. The funding round was led by a prominent undisclosed investor.
The company provides a full-stack service offering through an asset-light model via its tech platform that connects logistics service seekers with mini-truck drivers through the website and mobile app. Blowhorn has grown its revenues over 500% since its previous Series A funding round while enhancing its industry-leading margin. The company has expanded its presence to over 30 cities and now has over 25,000 driver partners on its platform.
Mithun Srivatsa, CEO of Blowhorn, said “We closed our fundraise to optimise speed and momentum to keep building a category-defining company. Now, with a strong core team in place, we are expanding rapidly and are seeing significant growth in our recently launched verticals. Our goal is to be active across more than 100 cities across India by 2021, and we are on track to achieving that. We are also in the final stages of executing our first international foray, and we are very excited about it. Our margin profile remains healthy and has grown 30% over the last quarter.”
“We are in active conversations with several parties interested in leading a larger round that we anticipate will close within the next 6 to 9 months. We believe that we have built a solid foundation and that we are still in the 1st innings of the intra-city logistics game” adds Mithun.
Eto Munehiko, MD of Dream Incubator India, said “Blowhorn’s deep domain expertise enables it to achieve high margins while remaining capital efficient. Our investment rationale was the differentiation that Blowhorn brings to the table by providing full-stack tech solution and at-par service levels, becoming the go-to partner for both corporates and SMEs. With our expertise in both investments and strategy consulting in Asia, we will help Blowhorn as a strategic partner with geographic expansion and business planning. In India, we have made 20+ investments in the space of Health, Finance, Media & Entertainment, Mobility and more. We will continue investing in promising start-ups in the future.”
Dr Apoorv Ranjan Sharma, President and co-founder, Venture Catalysts, said “The mini-truck transportation market in India is estimated to be at a valuation of INR 30,000 to 60,000 crores annually. Additionally, the granting of industry status to the logistics sector has further enhanced the ease of accessing finance and extended other opportunities to players in the sector. Blowhorn has been doing some exceptional work in the domain, and we are certain the current round of investment will go a long way in empowering the company to expand and enrich its operations.”
HDFC acted as the Financial advisor and Trilegal as the legal counsel on the transaction.