25.5 C
Saturday, September 23, 2023

Shiprocket buys Omuni in Rs. 200 cr deal for faster deliveries of shipments

- Advertisement -

Logistics aggregator Shiprocket has bought Omuni in a cash-and-stock deal. The acquisition will enable faster deliveries of shipments to customers from the nearest warehouse or store.

Shiprocket, financed by Temasek and Zomato, announced the acquisition of Omuni, the omni-channel technology division of garment maker and retailer Arvind Ltd, for Rs 200 crore in cash and shares.

Shiprocket said in a statement on Tuesday that the transaction will allow for speedier delivery of items to consumers from the nearest retailer or warehouse. According to a person familiar with the issue, Arvind Ltd is anticipated to get more than a 2% interest in Shiprocket as part of the acquisition.

This is yet another attempt by Shiprocket to expand its direct-to-consumer (D2C) shipping business while also enrolling offline companies for their delivery needs.

It announced the acquisition of Pickrr in a $200 million transaction last month, causing considerable industry consolidation.

According to Arvind Ltd’s BSE filings, Omuni and Arvind Internet Pvt Ltd (AIL), which houses the group’s software-as-a-service technology division, generated Rs 24.5 crore in revenue in fiscal 2022.

Arvind Ltd would transfer Omuni to AIL for a total payment of Rs 152.30 crore in AIL shares as part of the new agreement. It will subsequently be handed to Shiprocket’s owner, BigFoot Retail Solutions Pvt Ltd.

Third-party logistics businesses such as Delhivery and Xpressbees have also joined the D2C commerce industry, offering delivery within a day or two. D2C brands typically struggle to deliver things quickly on their own.

According to Shiprocket, the agreement will result in greater inventory use, faster delivery, and cost-cutting measures.

Saahil Goel, cofounder and CEO of Shiprocket, stated, “Omuni’s SaaS tools will enable us to consolidate inventory, order, catalogue, content, pricing, and data across physical and digital storefronts to provide consumers with the greatest possible ecommerce experience.”

Arvind’s executive director, Kulin Lalbhai, stated that by connecting its retail stack with the Shiprocket ecosystem, they will be able to effortlessly sell their huge inventory of retail locations. Shiprocket has over 250,000 retailers on its platform and distributes items to over 70 million customers every year, with volumes increasing 2.5-3.0 times per year.

Related Articles

Latest Articles