Competition Commission of India or CCI has approved the acquisition of an additional shareholding in Rivigo by Warburg Pincus’ affiliate Spring Canter Investment Ltd (SCIL) through a subscription of compulsorily convertible preference shares, according to a notification released by the antitrust watchdog.
This is in addition to the earlier round of investment by Elevation Capital (previously SAIF Partners). Both Elevation and Warburg will continue to be minority investors in the company.
This is part of an ongoing capital raise of Rivigo aligned to the company’s continuing growth and expansion plans. Last month, Rivigo kicked off its Series G round and raised Rs 84.4 crore from Elevation Capital. It’s likely to complete the round this month.
SCIL is an investment holding company incorporated under the laws of Mauritius and does not have any physical presence in India. According to CCI, its shareholders are certain private equity funds managed by Warburg Pincus LLC (Warburg).
Floated by Gazal Kalra and Deepak Garg, Rivigo is a full-stack logistics offering including relay-led trucking and freight marketplace to empower shippers and fleet operators to optimize their fleet.
Rivigo offers three products – Relay Full Truck Load, Express Cargo and Cold Chain — and facilities across verticals including e-commerce, automotive, frozen and processed foods, FMCG and automotive. According to its website, Rivigo has over 5000 trucks in its fleet operational across 4,000 Indian cities.
With over 2,00,000 verified fleet owners, the company operates via more than 70 pit stops and has completed half-a-million trips to date.
Since its inception, Rivigo has raised over $280 million across equity and debt rounds from the likes of Warburg, Elevation Capital and Trifecta Capital.
While the firm is yet to file its financial report for FY20, it had reported a 42% surge in its revenue to Rs 1,028 crore in FY19 and incurred a net loss of Rs 600 crore during the period.
Besides the traditional logistics companies, Rivigo has direct competition from BlackBuck in its segment.
Update: We have changed the headline and story to reflect that SCIL has acquired an additional shareholding in Rivigo, not the entire company. We regret the error.