Market-bound logistics company Delhivery said it has invested in logistics automation solution startup Falcon Autotech, for an undisclosed amount.
Delhivery said the investment is in line with the company's sustained backings in hardware solutions for operations.
Delhivery (including Spoton) already operates 20 automated sortation centres, 124 gateways, and 83 fulfillment centres across India as of June 30, 2021.
Delhivery aims to partner with Falcon Autotech to build and deploy new automation solutions for transportation and warehousing operations as a result of this investment.
Falcon Autotech claims to have pioneered several warehouse automation solutions for the warehousing and logistics, ecommerce, and courier industries since its founding in 2004. These include online weight and dimension or volume measurement systems for freight calculation, mail sorters, and asset and inventory tracking solutions based on bar codes or RFID (Radio Frequency Identification). It employs approximately 400 people and operates in 35 countries, according to Falcon’s Linkedin page and website.
“The collaboration with Falcon Autotech strengthens our ability to drive greater speed, precision, and efficiency across our business lines," Ajith Pai, Chief Operating Officer (COO) of Delhivery, said.
The investment, according to Delhivery, will enable the bundling of hardware automated solutions with Delhivery's SaaS platform, one of the company's intended growth verticals in the national and worldwide market, it said.
Earlier the logistics giant bought Spoton Logistics Pvt. Ltd, owned by private equity firms Samara Capital and Xponentia Capital, for $235 million in August. Post this deal, the company also acquired California-based Transition Robotics Inc in December.
Earlier in 2019, Delhivery acquired the Indian business of Dubai's Aramex that was followed by the purchase of India Quotient backed Roadpiper the next year. Previously in 2013, Delhivery acquired cash collection services, brand name and the operations team (comprising over 60 people) of the Hyderabad-based startup Gharpay Technology Services for an undisclosed amount.
Delhivery was founded in 2011 by Sahil Barua, Mohit Tandon, Bhavesh Manglani, Suraj Saharan, and Kapil Bharati as a hyperlocal express logistics services firm in Delhi.
It offers end-to-end logistics and supply chain services in India, and the company claims to have completed over one billion shipments since inception. According to its website, it has over 21,000 customers, including large and small e-commerce participants, SMEs, and other businesses and brands.