Alongside equity, Locofast has raised debt from strategic partners–Stride Ventures and BlackSoil Capital
With this capital infusion, Locofast will invest in technology, expand reach to more than 15 cities in India and launch three new product categories while enabling SMEs to scale their businesses
The startup will continue to expand its workforce while focusing on growth of existing teams
Tech-enabled supply chain startup, Locofast has raised $15 Mn in Series A funding round co-led by Stellaris Venture Partners and Chiratae Ventures with participation from Kris Gopalakrishnan’s fund – Axilor Ventures.
Other angel investors who participated in the round are Suhail Sameer (CEO, BharatPe), Amit Lakhotia (CEO and founder, Park+), and Nitin Gupta (CEO and founder, Uni) among others. Alongside equity, the startup has raised debt from strategic partners–Stride Ventures and BlackSoil Capital.
“The Indian textile sector is one of the oldest industries in the country contributing about 2% of GDP and employing over 45 Mn people. It is a space that is ripe for digital transformation. Our excitement is that Locofast is attempting to bring more technology to this traditional space creating value to all stakeholders across the value chain,” said Ranjith Menon, partner and executive director at Chiratae Ventures.
With this capital infusion, Locofast will invest in technology, expand reach to more than 15 cities in India and launch three new product categories while enabling SMEs to scale their businesses. Furthermore, it will continue to expand its workforce while focusing on growth of existing teams.
“Despite being a major contributor to India’s GDP, the textile industry is fragmented and slow in terms of technological adoption. With our previous entrepreneurial experience coupled with technical expertise, on-ground study of the ecosystem and understanding of SME functioning, our mission is to enable a sophisticated tech-enabled platform for textile SMEs and empower them with market linkages from across the world,” said Deepak Wadhwa, founder and CEO, Locofast.
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Founded by serial entrepreneurs Deepak Wadhwa and Mohit Piplani, Locofast addresses the currently broken textile supply chain through a platform connecting vendors and suppliers from all over the world.
The startup claims to have expanded rapidly and partnered with more than 500 suppliers who have collectively executed 5000 orders of textiles pan-India. It also asserts to have touched the supply chain of more than 700 brands of some of the big players in the apparel industry including supply chain partners for Zara, H&M, TJX, Cotton:On and Primark.
“By providing operational excellence to our customers, we aim to streamline the currently broken textile supply chain. Our team is excited to have the confidence of our investors as we work towards our mission of revolutionizing the supply chain in the textile industry,” Wadhwa added.
In recent times, various developments are seen in the supply chain sector. Of late, logistics and fulfillment startup Shiprocket acquired a majority stake in supply chain management startup Glaucus. The transaction would allow Shiprocket to accelerate development solutions that would further accelerate speed, accuracy, and efficiency in the purchase process across trade channels.
Besides this, Bizongo completed its Employee Stock Ownership Plan (ESOP) monetisation program and liquidated as much as $3.7 Mn worth of ESOP. While late in 2021, supply chain financing startup Veefin bagged $3 Mn in its Series A funding round from Dubai-based HNI, Rajesh Rajendran. This capital infusion is used to build its product and engineering teams.