Snapdeal founders-backed Delhi-based hyperlocal technology start-up ShadowFax has closed $8.5 million Series A round by Fidelity's proprietary investment arm, Eight Roads Ventures.
The company is one of the fast growing on demand delivery service focused on intra-city deliveries, serving the local delivery requirements of neighbourhood merchants.
Earlier investors in the company includes Kunal Bahl and Rohit Bansal of Snapdeal, has seen multi-fold month-over-month transaction growth.
The funding will enable ShadowFax to scale-up and expand across several cities
Started by IIT Delhi graduates, ShadowFax uses technology as a key enabler to drive operational efficiencies and create client stickiness with merchants. With an initial focus on the restaurant industry, the Company aims to diversify into other verticals such as grocery, bakery, pharmaceuticals and e-commerce.
ShadowFax has spread across 3 cities within the first 4 months.
With the key focus on service quality, Shadowfax claims to deliver 95 per cent of the orders in less than 15 minutes from pick up.
Kabir Narang, Managing Director at Eight Roads Ventures said "we believe hyper-local commerce is at a tipping point and logistics players serving this market are poised for sustained growth over the next several years. ShadowFax is an early mover and is well positioned to dominate the market."
Following the closing of the financing, Kabir Narang has joined ShadowFax's Board of Directors.