SUMMARY
The startup aims to use the funds to enter newer geographies in the country
It does about 3 Lakh deliveries per month and has a fleet size of 1150+ vehicles- including both two and three-wheeler EVs
Zyngo’s EVs are either leased or sourced from OEMs including Hero Electric, Piaggio, Kinetic Green, Mahindra Electric, among others
Third party logistics startup Zyngo EV has raised $5 Mn in a Pre-Series A round led by Delta Corp Holdings. Existing investor LC Nueva Investment Partners LLP also participated in the round.
Zyngo has stated that the funds will be used for expanding fleet size, entering new geographies and to enhance technology. Founded in 2020 by Prateek Rao, the startup caters to B2B and B2C consumers with intra-city logistics and other transportation needs.
Zyngo manages the entire EV operations cycle in the supply chain and delivery process. It caters to various sectors in the ecommerce industry such as SMEs, FMCG, cloud kitchens and other segments.
In the EV logistics industry, the startup works to provide Last Mile Delivery (LMD) and contribute to the hyperlocal sectors. According to the startup, 35% of the delivery costs have been cut down with the services, as LMD contributes to a considerable portion of the delivery cost of a product.
Zyngo claims that its in-house Fleet Management Software (FMS) enables complete visibility and transparency, while addressing customer confidence and product reliability faced by many ecommerce companies. The startup caters to a diverse range of clients from various sectors and aims to contribute towards improving India’s logistics sector.
Commenting on the investment, Zyngo’s founder and CEO Prateek Rao said, “With this latest investment, we are excited to accelerate our growth and expand our reach, while staying true to our commitment to provide eco-friendly and affordable logistics solutions.”
He further explained that the startup aims at a greener mobility landscape of India which was otherwise dominated by high carbon emitting trucks and vans.
Talking about the challenges to be addressed in the EV logistics industry, Mudit Paliwal, CEO & founder, Delta Corp said, “We have identified some of the key infrastructural barriers towards mass adoption and are now actively addressing each obstacle through targeted investments. These range from empowering drivers, financing vehicles to creating EV infrastructure hubs, our goal is to create a comprehensive EV ecosystem that will accelerate adoption of EVs throughout India particularly in logistics.”
Zyngo claims to do about 3 Lakh deliveries per month and has a fleet size of 1150+ vehicles – including both two and three-wheeler EVs, which are powered by lithium-ion batteries. These are majorly cargo loaders that are leased or sourced from OEMs such as Hero Electric, Piaggio, Kinetic Green, Mahindra Electric, among others. The startup also aims at expanding services to food tech, ecommerce, and egrocery deliveries.
By the end of this financial year, it aims to deploy approximately 3,000+ logistics EVs across India. In addition, Zyngo also aims to deploy at least 18,000+ zero-emission EV fleets across the country to contribute to India’s climate action and sustainability goals.
Zyngo aims to achieve the target by launching a hyperlocal B2C delivery mobile app which will ensure efficient utilisation of the fleet with customers being offered an easy-to-use interface. The app is going to be available to both iOS and Android users.
Writing for Inc42 Media, Kalyan C Korimerla, MD & co-promoter, Etrio stated that 15-20% of global last-mile ecommerce cargo fleets have been electrified. With proactive government policies, India is rapidly progressing toward commercial EV usage.
Way back in 2020, the Indian ecommerce giant Flipkart had announced that it will convert the entire delivery fleet to EVs by 2030.
Revamp Moto, Ather Energy, Altigreen Propulsion Labs, BluSmart, Ola Electric etc are some other startups operating in this segment.
