Jugnoo raises $10 million in Series-B Of Fundraising
Paytm leads Series B Funding of $10 million for Jugnoo
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Chandigarh-based auto hailing and hyperlocal delivery firm Jugnoo has raised a total of $10 million in the series-B round of fundraising. The funding was led by Paytm which invested another $5 million in Jugnoo, after investing last year in June. The rest were invested by Snow leopard, an existing investor, and venture capital firm Rocketship.vc.
Apps like Jugnoo and Ola have certainly made hailing an auto a much easier task now. Operating in 30 cities and 11 villages, Jugnoo has been able to rapidly ramp up its business in the past two months. It faces stiff competition from Cab hailing app Ola who is providing this service in 24 cities. With big investments coming in, Jugnoo's focus will be on sales and marketing, as well as expanding the service to other cities across India. Samar Singla, CEO of Jugnoo, said that the company will invest these funds in improving the driver efficiency and increasing the number of cities that it operates in.
"We have been receiving a phenomenal response from drivers who are now readily adopting technology as a means of increasing their daily earnings. And with the kind of impact we have been able to make at the grass-roots, I am sure we have a long way to go," he said. Jugnoo has developed a network of about 10,000 auto-rickshaw drivers across India.
As an investor, it is a great opportunity for Paytm too, which now has exposure to online aggregator business as well. Primarily a digital wallet with operations in eCommerce, it recently added travel booking to its selling list and has also received a payment bank license by the Reserve Bank of India.
Appreciating Jugnoo's success, Kiran Vasireddy, senior vice president of Paytm said, "Jugnoo has showcased tremendous potential towards creating disruption in the Indian public transportation eco-system. Their Auto hailing service has picked up phenomenally well and they are witnessing incredible growth MoM basis. With further infusion of funds, Jugnoo will be equipped to scale up its operations across the country and Paytm is happy to be a part of its growth story."