Indonesian Logistics Tech Startup Waresix Closes c.US$100 Million Fundraising
Summary
- Waresix seeks to digitally transform the US$55 billion Indonesian trucking and warehousing sector.
- Amid the COVID-19 pandemic, Waresix has scaled up rapidly to support the distribution of essential goods to over 100 cities across Indonesia and to provide logistics services to primary sectors.
- As the world's largest archipelago, distribution of goods is a major pain point in Indonesia. Waresix offers unique solutions to address distribution challenges, in line with the government's aim to reduce the country's logistics costs to 19% of GDP.
JAKARTA, Indonesia, Sept. 9, 2020 /PRNewswire/ -- Waresix, Indonesia's leading logistics tech platform, today announced that it has concluded its Series B fundraising, and over the last year raised c.US$100 million from existing investors EV Growth and Jungle Ventures, and new investors, including SoftBank Ventures Asia, EMTEK Group, Pavilion Capital and Redbadge Pacific.
Waresix is the leading logistics tech platform in Indonesia in the trucking and warehousing segments. Trucking services, which form the majority of Waresix's business, is focused on first-mile and mid-mile intercity shipments. Waresix's deep operational involvement as a provider of managed services enables it to identify key value and efficiency-generating solutions for its clients beyond passive demand and supply matching. Waresix's solutions, including consolidation, back-haul optimization and hub-and-spoke distribution, can achieve 50% higher truck utilization than traditional shippers, and have contributed towards Waresix rapid scaling, while generating positive net income. Waresix has been profitable on a net income basis since June 2019.
Waresix now serves more than 250 marquee corporate clients from diverse industries, including clients within the commodities, fast-moving consumer goods, industrial consumables, infrastructure, and retail sectors. Notable customers include Unilever, Indofood, Siam Cement Group, Wings, JD.ID and numerous other MNCs. Waresix's logistics ecosystem spans over 40,000 trucks and 375 warehouses in more than 100 cities and towns across Indonesia. Waresix's integration with key logistics facilities, such as Indonesia's National Ports, has allowed the company to expand its reach beyond Java and Sumatra, to all of Indonesia's main islands.
Waresix has been developing a unified operating system-like platform for its partners, with the goal of improving partners' daily operations pertaining to their vendors and customers. The platform further provides a compact, single view of partners' consignments across transport channels and transit warehouses. Waresix's platform distinguishes itself from other logistics companies that primarily focus on building passive load-board and listings, to match supply and demand. Waresix continues to tackle core logistical challenges by going beyond matching supply with demand through cultivating a managed-service ecosystem. This has positioned Waresix to address challenges and generate enduring solutions faced by its demand and supply partners.
Despite disruptions brought in by the COVID-19 pandemic, the company has continued to achieve remarkable results, with rapid growth in its first-mile and mid-mile trucking services while supporting the efficient flow of essential goods and the livelihoods of thousands of truck drivers across the country.
At its core, Waresix believes that logistics, being a major bottleneck in the fast-growing Indonesian economy, provides ample opportunity for innovation within the e-trucking sector. Furthermore, the Indonesian government continues to invest in the country's physical infrastructure, which serves as further sector catalysts. With technology and a customer-first mindset deeply embedded in Waresix's DNA, Waresix is well-placed to propel efficiency within Indonesia's complex logistics ecosystem.
Andree Susanto, CEO of Waresix, said, "We are excited to on-board a group of high-quality long-term investors and partners that have committed to support Waresix in our journey to be the new engine for trade and commerce growth in Indonesia. The capital will be invested to develop the most robust logistics technology infrastructure in South East Asia, and further build out our world-class team to help us seize a large market opportunity."
Edwin Wibowo, CFO of Waresix said, "We are not just driven by technology, but also driven by a passion to solve real problems, and innovating via technology. We have proven this in the last two years, which is why our clients love us and our business has continued to scale until today."
About Waresix
Waresix is a tech-enabled platform offering logistics services and solutions to customers in a more efficient and economic manner. It connects shippers and businesses with available transporters, trucks and warehouse space across Indonesia, providing better transparency, quality of service, and improving income for asset owners. Its expansive ecosystem now reaches over 40,000 trucks and 375 warehouse operators across the archipelago.
The archipelagic makeup of Indonesia has resulted in one of the highest logistics costs in Asia, accounting for nearly a quarter of the country's US$1 trillion gross domestic product (GDP). This high logistics cost not only hampers Indonesia's industrial competitiveness but also adds to Indonesian SME's cost of doing business. Waresix seeks to address challenges and generate enduring solutions for its supply and demand partners in the US$240 billion Indonesian logistics market.
You can read more about us at waresix.com.
SOURCE Waresix
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