Shiprocket raises $41.3 million in funding led by PayPal Ventures

Shiprocket, a Delhi, India-based e-commerce fulfillment platform has raised USD 41.3 million (INR 305 Cr) in Series D1 funding.

PayPal Ventures, PayPal’s corporate venture capital arm, Info Edge Ventures, an investment fund backed by publicly traded Info Edge and Temasek Holdings, as well as existing investor Bertelsmann India Investments, led the round.

In addition, existing investors March Capital and Tribe Capital participated in the round. Strategic partners such as Razorpay and Innoven Capital and successful entrepreneurs such as Kunal Shah- Founder of CRED, and Deepinder Goyal- Founder of Zomato, also participated in the funding round.

The latest capital infusion brings Shiprocket’s total funding to USD 94.3 million. The investment will help Shiprocket accelerate its mission to democratize e-commerce fulfillment for the rapidly expanding universe of direct-to-consumer retailers.

Shiprocket will invest the newly infused capital in aggressive core product expansion and R&D, talent acquisition, and adjacent product development that will assist retailers in improving the post-order consumer experience.

A portion of the funds will also go toward the platform’s new strategic initiatives, such as global expansion beginning in the Middle East.

Speaking on the new capital, Saahil Goel, CEO, and Co-Founder of Shiprocket said, “Shiprocket’s mission, ever since its inception, has been to help merchants focus on what they do best and ease their burden by taking on the heavy lifting of supply chain automation. D2C commerce forms roughly 15 percent of the overall e-commerce market in India; this is projected to grow to 30-35 percent in the next 5 years. Shiprocket is democratizing best-in-class experiences for hundreds of thousands of e-commerce brands that are shipping millions of items per month through our platform today.”

“We are thrilled with the abundant potential and opportunities available for technology enablers like us in this vast, untapped market. The future lies in enabling the entire stack of solutions for the post-purchase leg for D2C e-commerce transactions. We also wish to extend a very warm welcome to PayPal Ventures and Info Edge Ventures and thank them for joining us on this journey along with our existing investors,” he added further.

Shiprocket envisions the development of a platform that will assist merchants in scaling their D2C business, gaining buyer trust, improving conversion, and offering next-day delivery options without the use of marketplaces. The company also intends to provide the entire backend infrastructure of a large marketplace for retailers of any size on its platform.

Marc Donnadieu, Director, PayPal Ventures said “Shiprocket has excelled by focusing on building products that solve major logistical problems for businesses as they scale, much like PayPal has supported merchants with payments. We’re thrilled to join Shiprocket as an investor and support the development of its tools that will continue to shape the dynamic commerce ecosystem in India for years to come.”

The company was founded in 2017, became profitable in fiscal year 18-19, and is on track to close this fiscal year with a revenue of USD 100 million. Shiprocket currently processes over 5 million monthly shipments, allowing over 100,000 sellers in India to sell directly to their customers.

Bertelsmann India Investments, Tribe Capital, March Capital, Nirvana Venture Partners, and Beenext previously invested USD 53 million in Shiprocket, and these investors continue to support the company today.

Pankaj Makkar, Managing Director, Bertelsmann India Investments said, “We are thrilled to continue our partnership with Shiprocket which is strengthening India’s D2C’s supply chain. The company has built very deep technology and AI products that could take the user experience, on the merchant and end-user side, to the next level and drive India’s supply chain and logistics growth. We look forward to having like-minded partners like Info Edge and PayPal join our cap-table and support Shiprocket in its mission.”

Shiprocket’s Series D1 financing caps off an exceptional year that included rapid business growth, key executive appointments, and numerous product launches. The tech-enabled logistics platform connects merchants, consumers, and supply chain partners across 29,000 pin codes in India and 220+ countries and territories globally, partnering with over 17 logistics providers.

Also Read:

Follow IndianStartupNews on FacebookInstagramTwitter for the latest updates from the startup ecosystem.

Recent Stories

More On IndianStartupNews