Pune based ElasticRun has raised USD 7 Mn in a funding round led by Kalaari Capital and Norwest Venture Partners. ElasticRun, which is stealth mode was founded by Shitiz Bansal, Sandeep Deshmukh, and Saurabh Nigam. The startup is building an asset-light, app-driven, logistics and distribution company. It has been offering services to industries across pharmaceutical, online retail, food products, automotive and hospitality sectors.
The capital from this funding round will be utilizes to further build technology infrastructure, get talent on-board, and expand operations to other regions. The investment when announced was divided into two tranches. The first tranche amounting to USD 2 Mn was in paid out in April 2016, while it was announced later in November 2016. The second tranche is the current funding amounting to USD 7 Mn.
Talking about the investment, Mohan Kumar, Executive Director, Norwest Venture Partners India said,
“We invested in the ElasticRun team because of their relevant experience, having worked at DHL and Amazon. Their technology and network-centric approach to optimise the path of goods as they travel across different touch-points makes them very unique.”
Sandeep Deshmukh, was the Head of Amazon’s crowdsourced transportation channel programme before, which he quit in February 2016. Post which ElasticRun happened. Shitiz Bansal worked as Senior Principal Consultant at EdgeVerve, the Infosys subsidiary, along with co-founder Saurabh Nigam. Currently, ElasticRun is operating in the space of last-mile and middle-mile operations for the e-commerce industry and primary and secondary distribution for pharma companies.
Rivigo, Locus, Locanix, BlackBuck, Delhivery are some other startups in the logistics segment in the Indian Startup scene. In March 2017, Delhi-based ecommerce logistics firm, Delhivery raised USD 100 Mn in funding from US-based investment fund Carlyle Asia Partners, with participation from existing investor Tiger Global.