Tiger Global continues its hunt for enterprise technology startups; backs Locus in $22 million funding round

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Published: May 13, 2019 8:37:51 PM

Tiger Global has been backing mostly B2B businesses in its new avatar, particularly in the enterprise or cloud space such as CheckMate, Facilio, Fyle, Innovapptive, Clevertap etc.

tips, entrepreneurs, logistics startup, news, industry, start up, newsTiger Global and Falcon Edge Capital along with existing investors Exfinity Venture Partners and Blume Ventures backed Locus in the current round.

Supply chain optimization company Locus has raised $22 Million in Series B round by Tiger Global Management and Falcon Edge Capital while existing investors Exfinity Venture Partners and Blume Ventures also pooled in the current round. The investment will help the company go deeper into new markets it penetrated last year — North America and Southeast Asia along with expanding local teams.

Locus offers solutions around route optimization, real-time tracking of orders, automated shipment sorting etc, the company said in a statement.

“The funding will act as a boost to our global expansion efforts as we amplify our team size specifically in North America and continue to build our IP,” said Locus CEO, Nishith Rastogi.

“With prolific anchor customers such as Blue Dart, the team has demonstrated the ability to build and deliver technology and algorithmic driven outcomes that provide attributable ROI to the enterprise at scale,” said Navroz D. Udwadia, Co-Founder, Falcon Edge Capital.

Financial Express Online had reported on April 26 this year how Tiger Global has been backing mostly B2B businesses in its new avatar, particularly in the enterprise or cloud space such as CheckMate, Facilio, Fyle, Innovapptive, Clevertap etc.

Tiger Global had raised $3.75 billion in October 2019 for its latest fund — Private Investment Partners XI to invest in businesses in areas including consumer internet, cloud, and industry-specific software markets along with consumer brands companies in China, India and the US.

Also read: Why Tiger Global is hunting for enterprise technology startups

“We believe the internet is the defining economic theme of this generation,” Financial Times had quoted the fund saying in its investor materials. “Without a substantial percentage of one’s assets allocated to this theme, we believe it will be difficult to outperform.”

Tiger Global has made close to 11 investments in startups focusing on India in just around eight months after a virtual freeze of close to three years – between 2016-19.

Locus currently has over 40 clients globally processing up to over 1 million orders a day. The startup has offices in India, US and Indonesia. Locus competes with startups in the logistics technology vertical including LogiNext and FarEye. Locus was launched in 2015 by Nishith Rastogi and Geet Garg.

“B2B businesses are better scalable than B2C wherein you first acquire customers and then build a business model around it. In B2B or enterprise businesses, the possibility of expanding it faster is not restricted to the local geography. Hence it offers a much wider market to exploit. As long as the market is large enough, any investor like Tiger Global would be interested in getting exposure in this kind of opportunity,” Founder and Managing Partner at early stage fund Unicorn India Ventures Anil Joshi told Financial Express Online.

According to the World Economic Forum (2016)3, the digital transformation of the logistics sector could translate into the value of $1.5 trillion for players in the logistics sector and an additional $2.4 trillion worth of societal benefits by 2025

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