[Update] Exclusive: Logistics Unicorn Delhivery Raises $125 Mn From Lee Fixel’s Addition

Update: After Inc42’s exclusive story on the funding round was published earlier this month, Delhivery today (September 24) announced raising of  of $125M from Lee Fixel’s venture capital firm, Addition.

Our original story follows:

Logistics unicorn Delhivery has raised INR 558 Cr from Lee Fixel’s Addition LLC as part of its Series I round. According to MCA filings accessed by Inc42, the Gurugram-headquartered startup has allotted 146,961 Series I Compulsory Convertible Preference Shares (CCPS) to Addition LLC at a price of INR 37,900 per share.  

This is the second investment in an Indian startup by Lee Fixel-led Addition, a $1.3 Bn venture capital fund launched last year. Addition invested $35 Mn in news platform aggregator Inshorts in September 2020.

Fixel, a prolific investor in Indian startups, left New York-based hedge fund Tiger Global in 2019. He had led Tiger Global’s early bets in Flipkart, Ola and Quikr. 

Delhivery’s fresh round comes on the heels of raising $100 Mn from global logistics giant FedEx. As part of the deal, FedEx Express will enter into a long-term commercial pact with Delhivery.

While FedEx Express will focus on international export and import services to and from India, Delhivery will, in addition to FedEx, sell FedEx Express international products and services in India and provide pick-up and delivery services across the country.

The above-said round was supposed to be the final round for Delhivery before it files draft red herring prospectus (DRHP) with the Indian market regulator – a mandatory step required for a company to go for an initial public offering. 

Delhivery in June this year raised  $275 Mn in its Series H round led by Fidelity Management and Research Company along with participation from other public funds. The startup back then said its valuation was around $3 Bn. This round allowed Boston-headquartered investment firm Fidelity to join Delhivery’s cap-table, meaning holding a major stake in the startup. 

Delhivery was founded by Mohit Tandon, Sahil Barua, Bhavesh Manglani, Kapil Bharati and Suraj Saharan in 2011. It provides a full suite of logistics services such as express parcel transportation, LTL and FTL freight, reverse logistics, cross-border, B2B & B2C warehousing, end-to-end supply chain services and technology services.

Its platform connects consigners, agents and truckers offering road transport solutions. The company claims to have fulfilled over 850 Mn transactions since its inception and works with over 10,000 direct customers including SMEs and enterprises. 

Update (September 24; 5:13 PM): The startup has announced the funding amount and the story has been updated to reflect the same