Jugnoo secures fresh funding from Paytm
The Times of India, which first reported the development, said that Jugnoo has secured $10 million from Paytm's parent One97 Communications Ltd. Samar Singla, co-founder and CEO of Jugnoo, confirmed the fund infusion but declined to share specifics.
Jugnoo is expected to use the money raised to fuel its geographical expansion plans. Every three days, the startup is venturing into a new city, the news report said
The Chandigarh-based Jugnoo was co-founded by IIT Delhi alumni Singla and Chinmay Aggarwal in November 2014. It focuses on four segments—auto booking services, taxi aggregation, online ordering and home delivery of meals and groceries.
The taxi aggregation play was added in July when Jugnoo acquired BookMyCab in a cash and stock deal.
It had recently acquired restaurant discovery app Bistro Offers and mobile-only services marketplace yelo.red.
Jugnoo raised $5 million (Rs 32 crore) in Series A funding from Snow Leopard Technology Ventures, Paytm and other investors in May.
Before that, it raised $1 million from Rajesh Mathur, co-founder of Junglee that was acquired and relaunched by Amazon; Vikas Taneja, partner and managing director of BCG Group; Kirloskar Brothers and others in a seed round early this year.
Jugnoo currently operates in 22 cities across the country.
On the transportation side, Jugnoo would compete with the likes of Ola and Uber, which have added autorickshaws to their networks besides cabs. These players are banking on execution play in a vast market.
In the grocery delivery space, Jugnoo competes with Grofers, PepperTap and BigBasket, among others.
Alibaba-backed Paytm, which recently crossed the 100 million transactions threshold for its mobile wallet, has put money in startups such as Zovi, Little and others. It recently invested$10 million in LogiNext Solution Pvt Ltd, a location-based analytics startup for logistics management.