A leading end-to-end technology enabled logistics solutions provider Ecom Express has successfully raised Rs. 1,424 crore which is equivalent to $172 million from the existing investors via right issue. This fundraising will be the first round for this startup.

The managerial board of the company has passed a special resolution through which it issued 15,70,000 CCPS at issue price of Rs 9071 each to raise Rs 1,424 crore, depicted by its regulatory filing.

The allocated fund will be used for general corporate purposes, capital expenditure, and operating expenses among others.

The company was started in 2012,and claims to offer logistics services in over 2,700 towns and 27,000 pin codes in India. It employs over 50,000 people and has more than 3,000 facility centers.

During October 2022, Ecom Express has scooped up $39 million from existing investors including CDC Group and Partners Group. Again in February 2022, the firm approved a fundraise of up to Rs.4,860 crore or $648 million via a public issue of shares. The company has postponed their launch of IPO.

The company has raised more than $250 million through equity and debt to date which is excluding the current round of funding.

The revenue of this logistics startup Ecom Express from the operations jumped up by 21.9% to Rs 2,548 crore in FY23 from Rs.2,090 crore in FY22. Reportedly, the company has collected 90% of its revenue from its courier services. On the other hand, the firm’s share of losses also surged by 4X to Rs. 375 crore in FY23 from Rs.91 crore in the previous financial year. The firm is yet to file its annual report for FY24.