Tech-based intra-city logistics company Porter on Monday said it has raised Rs 750 crore in a funding round led by Tiger Global Management and Vitruvian Partners.
The series E funding round also saw participation from existing investors, Sequoia Capital India and Lightrock India, a statement said. The company will leverage this capital infusion to consolidate its position, focus on acquiring talent and expanding operations to enter the top 35 cities of India by 2023, it added.
Founded in 2014 by Pranav Goel, Uttam Digga and Vikas Choudhary, Porter services over 50 lakh customers across 13 cities in India. “The idea behind Porter was to solve the existing market gap between demand and supply by creating a tech-enabled liquid marketplace to drive better vehicle utilisation and service levels for our users…we have a chance to make a positive impact on the lives of over two lakh driver-partners,” Porter CEO Pranav Goel said.
Porter said drivers earn 30 per cent more, while customers save 20 per cent on logistics cost and have a better experience with lower wait times and higher availability. It added that Porter is also one of the only logistics models that is 100 per cent asset light and has a negative working capital cycle. In a challenging market, Porter has developed excellent repeat driver and customer cohorts, demonstrating the platform’s unique value. We are excited to partner with Porter as it reinvents and markedly improves intra-city logistics across India, Tiger Global Partner Griffin Schroeder said.
Peter Read, Cortex Partner at Vitruvian Partners, said Porter has built a leadership position frugally in the fast-growing intra-city market. Porter has consistently achieved triple-digit annual growth since its launch in 2014 and has been growing faster with scale as network effects play out, the statement said. IndigoEdge acted as the exclusive financial adviser to Porter in this funding round, it added.