Wow Express to raise $10 mn in Series B funding

Mumbai-based e-commerce delivery platform Wow Express plans to raise USD 10 million in Series B round of funding from the private equity (PE) investors in next one year period.

"We have recently raised USD 4.5 million in a Series A round of funding and now looking at raising another USD 10 million from the private equity investors in next one year to fund our expansion plans," Wow Express chief culture officer Sandeep Padoshi told PTI on Thursday.

The participants in Series A round included existing seed fund investors, including the Tamarind Family Trust of Mansukhanis (promoters of the Onida Group).

The company plans to use the capital raised to expand its geographical presence, ramp up its technology platform, and strengthen its senior management team, Padoshi said.

It provides services such as first-and-last-mile delivery, warehousing and reverse logistics. It has 40 customers, which include marquee e-commerce players such as Amazon, Nykaa, Myntra, Jabong, and Voonik, it said.

It is presently making 25,000 deliveries per day in 52 cities of 17 states across the country. It plans to expand its e-commerce footprint to over 100 cities in the next 12 months, he said.

Wow Express also launched its health and diagnostics delivery operations earlier this year. A large part of the business expansion will also focus on growing its six-month-old health and diagnostics delivery business, Wow Health Express. Through this platform, Wow Express delivers blood samples and bodily fluids from labs to diagnostic companies.

"Currently, forming 5-7 per cent of its revenue pie at 60,000 samples per month, Wow Express plans to grow this vertical (health and diagnostics delivery) to about 20 per cent of its revenue share by the end of FY19," Padoshi said.

Started in 2015, the company has achieved Rs 25 crore revenue in FY18 and hopes to double the same to Rs 50 crore in FY19. The company also targets to achieve revenues of Rs 350 crore by FY 23, Padoshi added.