Shadowfax, an on-demand logistics startup, has today announced that it has secured $10 million as a part of its Series B funding round. This capital infusion comes from existing investor Eight Roads Ventures, an investment arm of Fidelity International.
While the company has not revealed any more financial details related to the latest round, the company’s CEO Abhishek Bansal has revealed that the latest round comes “with a significant mark-up” in valuation.
Kabir Narang, partner and head of technology and financial services investments at Eight Roads Ventures, said,
Shadowfax has demonstrated growth with attractive unit economics across its key markets. The company has built a differentiated technology platform and diversified from being a food-only delivery player to now delivering for grocery, pharmacy and e-commerce clients.
Abhishek Bansal, CEO of Shadowfax, said:
Our key focus areas in delivery include food, grocery and ecommerce related deliveries, which have an equal division of revenues coming from each vertical. We are exclusive delivery partners to Amazon India’s grocery and fresh delivery platform Amazon Now in Bengaluru, BigBasket and Grofers.
He further added that the startup is operationally profitable and is expecting the company to be at a break-even point in around four to five months. It is also planning to add over 10 cities in the next 12 months. As per the company, it processes close to 30,000 orders per day with an average cost structure of Rs 55 per order across categories.
The platform also serves as the same-day or next-day delivery partner for e-commerce marketplaces such as Amazon Prime. For food delivery, Shadowfax works with larger enterprise clients such as Domino’s, McDonald’s and Burger King.
Founded in 2015 by Vaibhav Khandelwal and Abhishek Bansal, ShadowFax is an on-demand delivery services startup which is currently focused on intra-city deliveries and serves the local delivery requirements of neighborhood merchants.
Shadowfax had raised $8.5 million from Eight Roads Ventures in September 2015 as a part of its Series A round of funding. The company also counts Snapdeal co-founders Kunal Bahl and Rohit Bansal as angel investors.
With over $18.5 million money raised so far, the company will be competing against the likes of Grofers and Roadrunnr, which merged with Tiny Owl and rebranded itself as Runnr earlier this year.