Jugnoo raises $5M to expand hyperlocal rides and food across more of India

India’s Jugnoo, a startup that has apps for both auto ricksaw rides and food delivery, today revealed that it has raised US$5 million in series A funding. The investment is from PayTM and Snow Leopard, reports Trak.

The main Jugnoo app, started in November 2014, is like Uber for rides in auto rickshaws, those motorized three wheelers you see all over India.

The other service is Jugnoo Meals, launched in February, which offers home delivery of freshly home-cooked food with a rotational menu. The meals are cooked by Jugnoo’s in-house chefs and are delivered within 30 minutes of placing the order.

In addition to the existing apps, Jugnoo launched Jugnoo Fatafat in April, a hyperlocal ecommerce marketplace for home delivery of fresh groceries. The customer can place an order for food, alcohol, medicines and take-out food from local shops at a of minimum Rs 300 (US$4.68) and it will be home-delivered.

Samar Singla, co-founder and CEO at Jugnoo, told India’s Economic Times that the hyperlocal market network of both PayTM and Jugnoo can work well together to overcome issues that plague ecommerce in India, such as epayments.

According to Jugnoo, it currently has 2,500 transactions a day, out of which 30 percent are hyperlocal deliveries. The apps cover Chandigarh, Amritsar, Jaipur, and Ludhiana. The startup plans to launch in larger cities.

(Source: Economic Times)