Amazon-backed Shuttl raises $36m from Toyota, others for expansion

Indian bus aggregator Shuttl said it has raised US$36 million in its ongoing series C round, which included participation from Toyota Group’s trading arm, Toyota Tsusho Corporation, and Sparx Group through Mirai Creation Fund II.

The two investors poured US$18 million into the startup, according to a statement.

Photo credit: Shuttl

Shuttl plans to use the fresh funds to further expand within and beyond its existing markets of Delhi-NCR, Kolkata, Hyderabad, Pune, Mumbai, and Chennai.

The company, which is reportedly looking to bank US$42 million in the round, said it is expecting to see more investments in the near term.

Founded in 2015, the Gurugram-based startup provides an app-based shuttle service that allows its users to book bus seats and choose pick-up and drop-off points. It claims to operate roughly 2,000 buses, serving over 100,000 rides daily on over 350 routes.

Shuttl has been on an expansion spree during the last couple of months, launching its technology center in Bengaluru and new routes in cities like Kolkata, Delhi, and Chennai.

It has also entered the food delivery space in February with the launch of meals on buses for commuters after a pilot program that started in October 2018.

Previously, Shuttl secured roughly US$7.2 million in April 2019 from Sequoia Capital India, Lightspeed India Partners, and Times Internet. Around that time, it was clocking about 60,000 rides per day.

In July 2018, the company banked US$11 million in a round led by Amazon India, the Alexa Fund, and Japan’s Dentsu Ventures.