1. Startups

Waresix Acquires Trukita, Expands Business in “First-Mile” Logistics Network

The logistics business is experiencing rapid growth during the pandemic

Logistics startup Waresix today (17/12) announced its acquisition of Trukita; which is a startup that serves portals marketplace to help users find freight and trucking service offers for delivery first mile. This acquisition is expected to expand the company's service range, because, as previously noted, Waresix only focused on logistics services mid-mile.

Following this corporate action, Waresix wants to accommodate all aspects of the supply chain through a technology approach, including truck management, warehousing, multimodal transportation, and vendor management.

In September 2020, Waresix also announced that it had raise up to $100 million or equivalent to 1,5 trillion Rupiah from intensified funding. The last series B round was attended by a number of investors including EV Growth, Jungle Venture, SoftBank Ventures Asia, EMTEK Group, Pavilion Capital, and Redbadge Pacific.

"Steps to make acquisitions Truck in line with the strategy to complement our capabilities in logistics services mid-mile. This strategy allows us to combine our expertise and corporate network to expand our range of services, as well as offer our customers a more comprehensive range of services," said Waresix Co-founder & CEO Andree Susanto.

He added that his acquisition of Trukita will increase the company's network access to more than 10 trucks and hundreds of new customers, placing the company in the best position to seize more opportunities in Indonesia's sea and port logistics market, which can reach up to $60 billion.

Meanwhile Trukita Co-Founder & CEO Ady Bangun said, "Trukita can now take advantage of Waresix's technology, as well as warehouse and truck network. This will improve our service to customers more holistically, and expand our range of services beyond just first-mile logistics just."

Waresix Co-Founder & CEO Andree Susanto and Trukita Co-Founder & CEO Ady Bangun / Waresix

Reaping profit in the midst of a pandemic

Until early December 2020, we noted that there were 8 fundings that were successfully recorded by local logistics startups. Of course this is a breath of fresh air for the industry, especially the logistics sector is worth considering because it is the backbone of various other businesses, one of which is E-commerce that contribute up to $32 billion GMV for Indonesia's digital economy.

logicallySeries A$6,000,000Monk's Hill Ventures
WaresixSeries B$75,000,000EV Growth, Jungle Venture, SoftBank Ventures Asia, EMTEK Group, Pavilion Capital, Redbadge Pacific
AndalinSeed Funding$1,500,000BEENEXT, Access Ventures, ATM Capital
WebtraceSeed FundingCorin Capital
ShipperSeries A$20,000,000Prosus Ventures, Lightspeed, Floodgate, Y Combinator, Insignia Ventures, AC Ventures
WarehouseAdaSeries A$25,400,000Sequoia India, Alpha JWC Ventures, Wavemaker Partners
Cargo TechnologiesSeries A$31,000,000Tenaya Capital, Sequoia India, Intudo Ventures, Amatil X, Agaeti Convergence Ventures, Alter Global, Mirae Asset Venture Investment
WaresixSeries A$25,500,000EV Growth, Jungle Ventures

The logistics business ecosystem itself is quite complex, previously discussed in analysis we did in 2019. Some business players such as Waresix are ultimately based on more than one business model – in addition to providing logistics transportation services, they have also started helping businesses do warehouse management to streamline product distribution. The same thing was actually done by several other players.

For example, what is done by the logistics aggregator startup Shipper, through its acquisition of Porter and Pakde, they expand their business coverage in the realm of warehousing to facilitate online sellers in marketplace and social commerce. SaaS Player for E-commerceomni-channel such as Sirclo now also have a similar business scope. This trend is a strong indication that every player in the ecosystem is trying to provide services end-to-end.

registered in the country, expenses for logistics landline is estimated to reach $290 billion by 2020. Apart from the large market, the commercial vehicle population (9,6 million units in 2019) has created intense price competition. However, the ratio of logistics costs to Indonesia's GDP still reaches 24%. This means that in terms of size, this market is still very promising to work on.

More Coverage:

Various logistics initiatives are also being intensified. Recently, Paxel collaborated with Blue Bird to present PaxelBig. Namely service same-day delivery with a capacity of more than 5 kg which is intended for MSME players to utilize the fleet owned by Blue Bird. Para unicorn also strengthen the business in this segment. One of them Gojek which will improve intercity delivery service via JX unit as j with JD.id.

-

Header image: Depositphotos.com

Are you sure to continue this transaction?
Yes
No
processing your transactions....
Transaction Failed
try Again

Sign up for our
newsletter

Subscribe Newsletter
Are you sure to continue this transaction?
Yes
No
processing your transactions....
Transaction Failed
try Again