Nilekani-backed 4TiGO eyes $10 million

HYDERABAD: 4TiGO, a logistics start-up backed by Infosys cofounder Nandan Nilekani and Accel Partners, is looking to close nearly $10 million in Series-A of funding from existing investors in the next couple of quarters, a person close to the development said.

Confirming the plans to raise funds through Series-A round, 4TiGO co-founder Vivek Malhotra, however, refused to divulge details on the size and timing of the series-A funding. Malhotra, who was in Hyderabad on Tuesday, told ET that the proceeds would be deployed for business expansion and bringing in more players under their network.

The start-up had earlier in 2015 secured a $2 million seed funding from Nandan Nilekani and Accel Partners.

“We are in talks to raise series-A funding and will be looking to close the deal very soon,” said Malhotra, who is also the chief of strategy and marketing for 4TiGO. He was in Hyderabad to announce the launch of company’s operations in Andhra Pradesh and Telangana.

“The funds to be raised in Series-A are close to $10 million and they are being pumped in by the existing investors,” said the person quoted earlier. He said the details on contribution from existing investors and possibility of new investors joining the team were being worked out.

The start-up plans to get 50,000 trucks by the end of this year, adding to the fleet of 1,200 trucks with which it kicked off operations last quarter. It charges 2% commission from the transport company and the fleet owners involved.

Founded in 2015 by two former IT executives, 4TiGO brings all stakeholders in the transportation industry on a platform through an app to book a truck at desired rates and also monitors its movement apart from providing insurance and essential services to the drivers.