Chennai’s Oxyzen Express Raises $3 Million, Targets Express Logistics Sector

Chennai-based tech-logistics startup Oxyzen Express has recently made a significant stride in its growth trajectory by securing $3 million in seed funding. The funding round was a collaborative effort, led by the Tamil Nadu Emerging Sector Seed Fund (TNESSF) and SNAM Group of Companies, along with the support of various angel investors. This round marks a pivotal moment for the company, which was co-founded by Bala Aghoramurthy, Raghuraman R, and Patram Choudhary, with the primary goal of reimagining logistics in India.

Oxyzen Express commenced its operations in early 2022, quickly establishing itself as a formidable player in the highly competitive express logistics sector. The company has made remarkable strides in a short period, managing to establish a pan-India network covering over 10,000 pincodes. Its rapid expansion and innovative approach have led to significant revenue growth, with the startup reporting nearly $6 million in revenue for the financial year 2022-23.

A key factor contributing to Oxyzen Express’s success is its proprietary technology stack, OWENS. This technology incorporates several innovative design concepts, including the Middle Mile Optimizer. This feature stands out as a major innovation, utilizing deep search data analytics in real-time to optimize and automate network decisions. This technological edge has not only enhanced customer experiences but also ensured industry-leading commercial efficiency.

Oxyzen Express’s funding and subsequent growth highlight the company’s potential in the express logistics industry, which offers a market opportunity exceeding Rs 1.5 trillion. The company’s ability to secure large customers across various sectors, including retail, pharma, FMCG, e-commerce, electronics, and auto, reflects its strong market presence and promising future trajectory.

The strategic investment by TNESSF, SNAM Group of Companies, and other angel investors underscores their confidence in Oxyzen Express’s vision and capabilities. According to the investors, the leadership team’s vast industry experience and the company’s innovative solutions were key factors influencing their investment decisions. With this funding, Oxyzen Express is well-positioned to continue its rapid growth and play a transformative role in the logistics sector.

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