Tech Logistic Startup COGOS Raises $2 Mn In Pre-Series A Funding
With the fresh capital, the company aims to expand to international markets and develop its technology platform
Bengaluru-based enterprise logistics companyCOGOS Technologies Pvt. Ltd, on Tuesday, announced that it has raised a total of $2 million in pre-Series A funding. The round was led by Dubai-based global shipping and logistics player Transworld GroupandNew-York-based deeptech fund Worldquant Ventures and among others. Ritesh S. Ramakrishnan of Transworld Group will be joining the COGOS board.
With this fundraising, the platform plans to expand its business to the internal market and further strengthen and develop its technology platform. The company aims to further upgrade its model and expand the business both in India and overseas - providing customized tech solutions to its partners.
“COGOS was founded to integrate the fragmented and the unorganized logistic market. We are very happy to have global logistic players and deeptech VCs believing in the potential of COGOS Platform. Going forward, we will continue to provide customized solutions to our partners and push ourselves to further provide the best experience to the clients with our technology-driven platform,” said Prasad Sreeram, co-founder and chief executive officer, COGOS.
In its Seed funding round, COGOS had raised $1 million from the Indian Angel Network (IAN), Emergent Ventures and others.
“We are very bullish on the India growth story which is led by both consumption and innovation. Logistics in India is a $300 billion market and is highly fragmented and unorganized. We see a huge growth opportunity in the Indian logistics’ space especially in the tier-III and IV cities which are underserved today. Technology is changing the way logistics services are being consumed and we are very excited to partner with COGOS to provide technology-enabled logistics services to clients and build a scalable and sustainable global business,” mentioned Chetan Mehta, chief executive officer, Wami Capital – Single Family Office, Transworld Group.
In the month of June, COGOS became the pioneer to announce electric vehicle (EV) adoption in the logistics business. The group will augment its fleet by 2500 EV across Bengaluru, Hyderabad, Delhi, and Gujarat, and later in Maharashtra and Tamil Nadu. This initiative is the COGOS commitment to reduce the carbon footprint of its fleet and achieve sustainable growth by reduction of 15000 tons of carbon dioxide when running at full capacity per annum, the company claims.
“We see COGOS evolving as a major player in the first, mid, and last-mile delivery for enterprises in India. Their AI logistics platform will also have a significant ESG impact as they integrate EV adoption into the delivery process. We are very excited to be involved early and help them grow into a global platform,” added Steven Lau, managing director, Worldquant Ventures.
As per research reports, the estimated size of the Indian logistics market is pegged at $ 215 billion and is growing at a compound annual growth rate (CAGR) of 10.5 per cent, contributing majorly to the growing gross domestic product (GDP) of the country. With rural India opening to the concept of e-commerce, it will be crucial for the logistic business players to address upcoming challenges and ensure building an infrastructure for the business that can expand even to the remote areas, the platform said.