The emergence of cab hailing services like Ola and Uber and their skyrocketing valuations seems to be having a rub off effect on other transportation startups as well. Now India’s bus aggregator startup Shuttl has raised $20 million or Rs 135 crore in Series A round of funding. The investment comes eight months after it started its operations. Also Read - Ola to offer free oxygen concentrators to the needyAlso Read - Ola India set to launch first electric scooter in 2021
The Series A round of funding saw participation from investors including Lightspeed, Sequoia India and Times Internet Ltd. This comes after Shuttl was able to raise $3 million in July as seed funding from investors that also included Sequoia. Shuttl plans to use the investment for expansion as well as strengthening its technology, the company said in its press release. Also Read - Uber cab service resumed in 31 cities in India with new Lockdown 4.0 guidelines
We exist to solve the office commute problem while positively impacting issues like congestion, pollution and safety. We have progressed in this direction in partnership with Car Free Day and Rapid Metro in easing out last mile connectivity and daily commute for users, Amit Singh, co-founder, Shuttl said. We believe buses are the most space efficient way to commute and we have added a technology layer on to them to build what could become a template for smart cities in India and abroad.
Shuttl was founded by Amit Singh and Deepanshu Malviya who are IIT-Delhi and IIT-Kanpur alumni respectively. The basic idea behind Shuttl is to provide air conditioned bus services in Delhi. A user can use the app (iOS, Android or Windows Phone) to select a route and buy a ticket on a bus plying on that route.
Currently, the startup has 500 buses on its platform plying on 50 routes. It handles around 15,000 trips per day with ticket prices ranging from Rs 20 to Rs 100. With this funding, the startup also aims at expanding beyond Delhi-NCR.
While it is solely a shuttle service, Shuttl isn t the only startup in this space. Earlier this year, Ola launched a similar bus service in Bangalore and Gurgaon. Ola s shuttle service operates in over 100 routes, with more to be added in the coming months.