Indian third-party logistics unicorn Xpressbees has secured a $40-million investment from Malaysia’s sovereign wealth fund Khazanah Nasional, according to a company statement.
The investment will be made through a secondary purchase from an early investor in the company.
Livemint reported, citing sources, early-stage venture capital firm Elevation Capital has sold a 4% stake in the company to Khazanah, as part of the transaction.
“There is a huge opportunity for tech-led disruption in logistics. We have established a leading brand but are still early in our growth story. We continue on our path to becoming a dominant end-to-end logistics player and look to leverage any strategic opportunities. Khazanah’s disciplined long-term investment approach makes the Malaysian sovereign wealth fund a perfect partner for us in this journey,” Xpressbees founder and CEO Amitava Saha said.
Avendus Capital was the exclusive financial advisor on this transaction.
Founded in 2015, Gurugram-headquartered Xpressbees caters to sectors such as e-commerce, pharmaceuticals, FMCG, retail, manufacturing, electronics and consumer durables.
The firm entered the unicorn club in February last year, after raising $300 million in Series F funding at a valuation of $1.2 billion. The round was led by Blackstone Growth, TPG Growth, and ChrysCapital. Existing investors Investcorp, and Norwest Venture Partners also participated in the round.
Beijing-headquartered CDH Investments had fully exited during the Series F round while Elevation Capital and Chinese e-commerce giant Alibaba had subsequently made partial exits. Elevation Capital had previously made a partial exit when the company raised $24.6 million in August last year, in a secondary transaction from Avendus Future Leaders Fund II.
XpressBees also raised $110 million from private equity firms Norwest Venture Partners, Investcorp and Gaja Capital in November 2020.
Xpressbees is present across 5,000 cities, serving over 20,000 pin codes, and delivers over 2 million packages per day with over 100 hubs across India.