The acquisition comes on the back of a US$5 million Series A round supported by Snow Leopard Ventures and Paytm
India’s hyperlocal marketplace app, Jugnoo, has announced that it is breaking into India’s taxi aggregator market with the acquisition of BookMyCab – the third-largest taxi aggregator in India.
Launched in 2014, Jugnoo started as an auto rickshaw aggregator and quickly diversified into hyperlocal meal and marketplace delivery services through its Jugnoo Meals and Jugnoo Fatafat apps.
With this acquisition, Jugnoo will have access to BookMyCab’s fleet of 4,000 vehicles.
BookMyCab also processes an average of 10,000 transactions per day and is the exclusive taxi aggregator for Mumbai and Delhi. Similar apps such as Ola and Uber have both tried to enter these markets but were unsuccessful.
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Currently, Jugnoo operates in only four cities in India – Chandigarh Tricity, Ludhiana, Amritsar and Jaipur. By leveraging on BookMyCab’s foothold in Mumbai and Delhi, Jugnoo’s reach and revenue will have the potential to grow exponentially. Mumbai has the highest Internet penetration rate in the country, followed by Delhi.
Raising more funds
Just a month and a half back, Jugnoo closed a US$5 million Series A supported by Snow Leopard Ventures and PayTM. But the startup is not resting on its laurels, and talks of raising US$20 million in a Series B round is under way.
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Samar Singla, CEO of Jugnoo, is optimistic about its taxi service.
“We have a very loyal customer base that has been requesting taxi services for some time now and taxi drivers also want us to enter the taxi space. The definition of middle class has been redefined in today’s times, fatter paychecks and time constraints wash the guilt of taking a comparatively expensive means of transportation – Taxis,” Singla said.
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