SUMMARY
Vahak said it aims to expand its network and accelerate its growth by strengthening its capabilities in serving the Indian road transportation sector through the acquisition
Following the acquisition, Instalogist users will have access to Vahak’s users and registered companies, as well as its value-added services
Vahak is an open marketplace for logistics that connects shippers and transport SMEs to provide transportation services
Bengaluru-based logistics marketplace Vahak has acquired Instalogist, a truck booking app and load marketplace platform for long-haul transportation.
In a statement, Vahak said it aims to expand its network and accelerate its growth by strengthening its capabilities in serving the Indian road transportation sector through the acquisition.
However, it didn’t disclose the acquisition cost. The deal is expected to be completed by the end of this month.
Vahak, founded in 2019 by Karan Shaha and Vikas Chadrawat, is an open marketplace for logistics that connects shippers and transport SMEs to provide transportation services. The transport SMEs can also build their online transport brand on Vahak’s platform.
“Joining hands with like-minded partners has enabled us to bring our tech capabilities and expertise to a growing network. The move is in line with our mission to serve the needs of the fast-growing Indian transport community. Together with Instalogist, we are on track to become the one-stop shop for all logistics needs of the Indian road transportation sector,” Shaha, CEO and cofounder of Vahak, said.
Following the acquisition, Instalogist users will have access to Vahak’s users and registered companies, as well as its value-added services such as vehicle and cargo insurance, GPS, and e-medical consultations.
Additionally, users will get access to Vahak’s marketplace for load-lorry matchmaking based on tonnage and vehicle requirements, route and delivery timelines, and efficient return load booking.
“Joining forces with Vahak is a natural next step for us. We are excited to collaborate with like-minded technopreneurs who are willing to transform the Indian logistics sector with focused technologies for load owners and supply-side trucking community,” Pramod Prakash, CEO and cofounder of Instalogist, said.
Bengaluru-based Vahak raised $14 Mn in a Series A round of funding led by Nexus Venture Partners last year. Foundamental, iSeed Ventures, Leo Capital, RTP Global and Titan Capital also participated in the funding round.
India’s overall intercity road logistics market is expected to be worth $299 Bn by 2025, according to Inc42’s ‘The State of Indian Startup Ecosystem Report 2022’. Around 63% of the total demand is expected to come from on-demand intercity logistics. Most of this demand is likely to be impromptu with prepayment, unlike the traditional contractual model.
