CapGrid Raises $ 7 Million From Nexus Venture
CapGrid announced today that it has raised USD 7 million in its latest funding round, led by Nexus Venture Partners. The round also saw participation from existing investors Axilor and Anicut Capital. Deepak Jain, a senior Partner at Bain and head of the automotive practice in India, also participated in the round.
CapGrid is building a digital supply network with advanced technology infrastructure, partnering with hundreds of Tier 2 manufacturers to get precision parts & components sourced, manufactured and delivered to customers’ assembly lines. CapGrid’s deep capabilities in illuminating and tapping into the available capacity of QC-certified Tier 2 suppliers enable it to become a cloud manufacturer and aggregate supplier to Automotive and EV OEMs and Tier 1s.
CapGrid’s customer list has leading players from across 2W, 3W, 4W, Tractor, Construction equipment manufacturers and large automotive Tier 1s. For these customers, CapGrid through various offerings e.g. regular procurement consolidation, NPD (New Product Development), SPD (Spare Parts) sourcing and Electric Vehicle component sourcing, becomes an aggregate supplier. CapGrid has been able to reduce the supply chain complexity by 90 per cent, reduce procurement cost to zero and material cost by 3-5 per cent for its customers.
Speaking on the funding round, Cofounder & CEO, Dheeraj says “We have digitalized the entire Source-to-Deliver process. CapGrid is working closely with multiple automotive and industrial manufacturers as a strategic partner for the supply of precision parts & components. Our technology stack and supplier aggregation capability help customers reduce operational complexity and focus on innovation. With our decentralized global supply network, we can cater to direct material needs to OEMs and Tier 1s across the globe.”
Himanshu, Cofounder and COO, who closely works with the supplier ecosystem says, “CapGrid has illuminated manufacturing capabilities of over 30,000 suppliers across 15 countries and identified thousands of suppliers operating at 50-60 per cent capacity. We allow them to focus, utilize and innovate on their core manufacturing capabilities by bringing aggregated manufacturing demand.”
CapGrid is currently getting 5,000 different precision components manufactured through its supplier network of 300 partners and fulfilling it to the customer’s assembly line seamlessly owning delivery and quality in the process. Globally this segment is worth USD 1,000 billion in the automotive space itself.
