Shadowfax Secures $100M Funding Amid Instant Delivery Boom
Shadowfax, a leading logistics service provider catering to hyper-local and on-demand delivery businesses in India, has raised $100 million in a new funding round amidst its remarkable yearly growth of 35%.
The Series E financing round was led by TPG NewQuest and included some secondary transactions, announced the startup on Tuesday. Notably, TPG NewQuest had been evaluating an investment in Shadowfax, as reported by TechCrunch last year.
Strong Backing and Participation
Existing investors, including Flipkart, Mirae Asset Venture Investments, IFC, Nokia Growth Partners, Qualcomm, Eight Roads Ventures, and Trifecta Capital, also participated in the latest funding round, demonstrating continued confidence in Shadowfax’s potential.
Addressing Last-Mile Delivery Challenges
Shadowfax aims to address India’s fragmented last-mile delivery infrastructure, known for inefficiency and inconsistency. By unifying disparate elements in India’s last-mile ecosystem, the Bengaluru-based startup seeks to streamline logistics operations and improve service quality.
Expanding Reach and Operations
With a network spanning over 2,500 cities and more than 15,000 zip codes, Shadowfax handles over 2 million package deliveries daily and boasts over 3.5 million registered users. The company operates a logistics and delivery network of over 125,000 monthly active delivery personnel, serving clients such as Flipkart, Meesho, and various direct-to-consumer brands.
Riding the Quick-Commerce Wave
The rapid growth of quick-commerce in India has been a key driver of Shadowfax’s success, with the startup experiencing a 35% growth rate. Its hyper-local arm serves quick-commerce firms, delivering same-day or next-day shipments.
Investor Confidence and Growth Trajectory
TPG NewQuest emphasized Shadowfax’s role in revolutionizing India’s e-commerce logistics sector, while Mirae Asset Venture Investments hailed the startup’s scalability and consistent delivery performance. With more than $220 million raised in primary and secondary transactions since its inception in 2015, Shadowfax continues to expand its network and operations, cementing its position as a leader in India’s logistics space.