B2B cloud manufacturing startup CapGrid raised $ 7Mn funding in Series A round led by Nexus Venture Partners.
Axilor and Anicut Capital also joined along with angel investor Deepak Jain, Senior Partner at Bain and head of the automotive practice in India.
The firm will utilise this funding to deepen its technology infrastructure, acquire talent and scale up cloud manufacturing with its supply partners. CapGrid builds a digital supply network with an advance technology infrastructure, partnering with hundreds of Tier 2 manufacturers to get precision parts and components sourced, manufactured and delivered to customer’s assembly line.
It partners with warehousing and logistics players in an asset light model to be able to deliver to the customer’s assembly line.
CapGrid’s customers include tractor, construction equipment manufacturers and large automotive firms.
CapGrid claims it can 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. It is currently getting 5,000+ different precision components manufactured through its supplier network of 300+ partners and fulfilling it to customer’s assembly line seamlessly owning delivery and quality in the process.
Globally this segment is worth $1,000 billion+ in the automotive space itself.