Grofers, a Gurgaon-based hyperlocal grocery and fresh food delivery platform has acquired two Bengaluru-based startups – SpoonJoy, a food delivery app and Townrush, a B2B logistics service provider. The financial terms of the deal has not been disclosed but the deal is expected to be acquihire.
Founded in 2014, Spoonjoy raised $1 million in Series A round of funding from SAIF Partners and seed funding from Abhishek Goyal, Mekin Maheshwari, Sachin Bansal and Sahil Barua. But over a period of time, the startup ran out of money and so had to roll down its shutters in Delhi and Bengaluru last month.
Founded in 2015, Townrush secured an undisclosed amount through seed funding from Lightspeed Venture Partners couple of months ago. Just at Spoonjoy, it had to shut down operations as it failed to raise funds and was not able to pay salaries.
Dhindsa co-founder and CEO of Grofers said, “While at SpoonJoy, we were able to on-board the team entirely, we got to look at Townrush and pick some of the talent there. We are not looking to get into the space each of these companies were in. However, their experience in building and running early-stage tech companies allows us to get hold of a large talent pool in one go.”
Both the startups failed to raise further funds, thereby failing to keep their operations going, giving way to layoffs and consolidation to larger, capitalized players in their space. This has been quite common in the startup scenario where startups manage to raise initial funds but failed to get additional capital to keep the business going. The two failed startups seemed to be an interesting for Grofers which has raised $35 million more from its existing investors Tiger Global Management and Sequoia Capital in August.
Founded by Saurabh Kumar and Dhindsa, Grofers enable users to order products ranging from grocery to pet supplies and electronic products online and provides delivery in a matter of less than 90 minutes. It claims to fulfill around 30,000 orders every day.