BlackBuck, an online marketplace for trucking, has closed a $150 million round of equity funding.
With this, the total amount raised by the company has risen to $230 million.
Fresh investors who participated in the round include Wellington, Sequoia Capital, B Capital and LightStreet.
The round also saw participation from existing investors Sands Capital and International Finance Corporation, the investment arm of the World Bank.
Employees of BlackBuck will now be able to liquidate 25% of their total vested stocks, at the current stock price of the company. This is the second time BlackBuck is executing a stock liquidation event for the employees of the company, the first one being in 2017. Over the last four years, the company’s employee stock option (ESOP) plan created a cumulative value of over $43 million, it said in a statement.
BlackBuck currently has over 3,00,000 trucks and over 60,000 fleet owners on its platform. The company will deploy these funds to penetrate deeper into the market, by on boarding new trucking partners along the existing as well as new transportation corridors. The company will also invest heavily in product and data sciences capabilities, to enable more efficient freight matching processes, it said.
Rajesh Yabaji, CEO & co-founder of BlackBuck, said, “Long Haul Road Transportation is a $150-bn industry for India. Despite being the market leaders in this space, we believe we are still scratching the surface. We are committed to make trucking simple and powerful for the entire ecosystem. With this round of financing, we will invest to deepen our presence across the national market. Significant investments will be made into product development and data sciences, both these dimensions are core to BlackBuck’s marketplace approach.”
Fleet owners on the BlackBuck platform have been able to reduce idle time by 45% leading to an increase in earnings between 20 and 30%. This has enabled making freight more efficient for the country and has also improved driver and fleet owner earnings, claimed the company.
The fresh round was led by Goldman Sachs Investment Partners and Silocon Valley-based Accel.
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