The latest news comes after last year’s rumor that GreyOrange was considering a US IPO to raise $500 million to $600 million. It was claimed at the time that the robotics company’s initial public offering (IPO) may be worth $1.5 billion to $1.7 billion.
“Given our track record of performance, we were in the advantageous position of strategically selecting when and how to best fuel our continued growth,” said Samay Kohli, GreyOrange’s cofounder, and CEO.
Kohli went on to say that the most effective structure for the company’s expansion objectives and customer service was a mix of stock and debt finance. Last year, GreyOrange joined the ranks of several other Indian companies intending to list in the United States, including Grofers (now Blinkit), Flipkart, Dream11, and Pine Labs.
According to rumors, the company was already in the early stages of talks with investment banks like JP Morgan, Bank of America, and Morgan Stanley about its IPO. The company planned to go public by the end of 2021 or the beginning of this year. GreyOrange’s return to raise extra funds, on the other hand, could be a result of its delayed IPO.
GreyOrange’s Fundraising round
GreyOrange’s latest investment round comes four years after the company received a $140 million Series C round headed by Mithril Capital, which included Flipkart cofounder Binny Bansal, and VC firm Blume Ventures, and others. The cash would subsequently be used to establish a manufacturing supply chain and engage in research and development.
GreyOrange was formed in 2011 by Akash Gupta and Samay Kohli to design, build, and install AI-based robotic systems that can automate common jobs in warehouses and fulfillment centers of large eCommerce and retail companies. GreyOrange has production facilities in India, China, and the United States, as well as research and development facilities in several countries, including India.
Current Position of GreyOrange
The company has recently cooperated with Walmart Canada and has handled warehousing for Indian companies such as Flipkart, Myntra, Pepperfry, Mahindra Tractors, and others.
GreyOrange competes with startups like BlackBuck and Fleetx.io in India’s broader software-driven fleet management industry, albeit these businesses offer distinct services and operate under various business models.
Meanwhile, the global AI-powered robots market is expected to rise at a compound annual growth rate (CAGR) of 38.6% from $6.9 billion in 2021 to $35.3 billion in 2026.
Several robotic firms have recently received funding, keeping up with the increasing trend. Last month, for example, Bengaluru-based robotics startup CynLr secured $4.5 million in a Pre-Series A investment headed by Speciale Invest and grow Ventures.
Unbox Robotics, a supply-chain robotics startup that specializes in robotics-based fulfillment and distribution technology for eCommerce, retail, and logistics businesses, raised $7 million in a Series A funding round led by 3one4 Capital with participation from Sixth Sense Ventures and Redstart Labs in December last year.