Gurgaon-based logistics technology start-up Rivigo has scored a cheque of $75 million or Rs 500 crore led by private equity major Warburg Pincus at a time when there’s been a drastic cut back in growth stage funding this year.

Having begun operations in 2014 as TruckFirst, the company services clients across sections like FMCG, auto, pharma among others.

Founded by IITians Deepak Garg and Gazal Kalra, Rivigo competes with the old guards like Gati and Bluedart as well as younger startups in the surface transport logistics space like Tiger Global-backed Black Buck which work on as aggregators. This investment would mark the second big bet by Warbug Pincus in the Indian logistics sector after it led a $133 million funding round in Ecomm Express last year.

Rivigo says it leverages data and technology to offer transportation solutions, including full-truck load, part truck-load and cold chains through its fleet of 1,500 fleet trucks which it owns spread across 150 locations nationally. Besides, that the tech-enabled logistics firm through its platform called Vyom also runs about 10,000 trucks aggregated from the market.

The start-up had last year racked up $30 million in its series B round led by its early investor SAIF Partners.

The company says it has been able to successfully reduce turnaround time by 50-70% for its customers through what it calls its “relay” operating model along with improving truck driver’s lifestyles, a huge pain point in the industry globally.

“This has led to lower costs of logistics and wastage in sectors such as e-commerce, apparels and pharma,” Garg told.

Rivigo, will deploy the fresh funds in technology and talent. We will scale up our network of processing centers and pit stops to give pan-India coverage to our customers. Data will disrupt and create a new future of trucking and logistics which will be significantly more efficient and precision based, Garg said.

Source: Times of India

Image Courtesy: Economic Times