Rivigo Generates $20 Mn In Series F Funding

Gurugram-based logistics startup Rivigo has already started scouting for its next round. Gazal Kalra and Deepak Garg, the founder of Rivigo offers pan-India delivery services to ecommerce, pharmaceutical, automobile, cold-chain and fast-moving consumer goods companies. The company started in 2014 said it covers more than 29K pin codes in India.

Rivigo aims to be EBITDA positive in FY20,after having closed Series E funding in July this year with $65 Mn. This raised funds to be used for capital expenditure.

Rivigo has said in filings that it plans to use the funding “towards capital expenditure and working capital requirements of the business in accordance with the business plan adopted and approved by the board.”

This year the company had been trying to manage costs and turn its asset-heavy business to asset-light. In August 2019, the company has shifted its focus towards Relay-as-a-Service model. RaaS will be offered to fleet owners using its technology, pilots and a countrywide network of relay pit-stops.

Relay Trucking is an operating model where drivers change over after every few hundred kilometers of driving through a network of relay pit-stops and then they get to come back to their home base to return to their families every single day. Besides giving fleet owners access to pilots, a higher truck utilisation, it will also make its patented fuel solution, maintenance and cashless payment solutions available to fleet owners in the country.

Rivigo has focused on significantly restructuring its business, and evolving a viable model, over the last one year. Hence, in FY19, the company said that it has added INR 300 Cr to its revenue with a loss of INR 600 Cr.