Tata Motors Invested in This Freight Aggregating Startup to Edge Up its Technology Game
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As a part of its motive of bringing its smart solutions to the trucking community, Tata Motors has recently picked up 26 per cent stake in Bangalore-based freight aggregating startup TruckEasy for an unspecified amount.
TruckEasy was formed in 2015 by Nikhil Thomas, Vikram Kodgi and Avinash Achar and is presently operating in Bangalore. The company is planning to use this investment for expansion,
Tata Motors claims that this strategic investment will give the auto company an insight into the rapidly growing technology-driven transformation in the freight logistics space and also get an understanding of the market dynamics in the intra-city freight movement.
Speaking on the investment, Girish Wagh, President –Commercial Vehicles Business Unit (CVBU), Tata Motors said that company has always been at the forefront of providing a differentiated service experience to the trucking community by not only providing them with the means of income but also creating business opportunities. TruckEasy is promoting entrepreneurship amongst transporters and providing them with a stable income.
“The young start-up has grown manifolds due to its partner-based module and its outstanding service to its customers. Through this investment from Tata Motors, TruckEasy will be able to access our wide network to grow the supply side and also to expand to multiple locations countrywide,” he added
Additionally, this will also help Tata Motors to use data analytics provided by TruckEasy for research and development, allowing the company for better customization of product specifications in line with current market requirements.
Long Way to Go
Even though this is the first time Tata Motors has made an investment in a startup, the company is working very closely with community especially in the electric vehicle segment.
In late 2017, the homegrown auto company rolled out the first batch of e-Tigers, a compact sedan. The company had one the order to produce 350 such cars from Government-owned Energy Efficiency Services Limited.
The electric drive systems for these cars were developed and supplied by Electra EV.
The Startup Partnership
Apart from Tata Motors, many other Indian corporate groups are actively investing or partnering with startups.
Earlier this year, Harsh Mariwala-led Marico Invested in Health-tech Startup called Revofit. Similarly, banks like ICICI Bank, Axis Bank and State Bank of India (SBI) have also set aside corpus amount to invest in startups in fintech space.
Though ICICI and Axis have been making some good moves, At the same time SBI has failed to find its perfect investee match and in middle of reworking its fund policy.