Home / Business/ Lankan logistics groundbreaker Grasshoppers joins forces with Aavishkaar Frontier Fund for major equ

Lankan logistics groundbreaker Grasshoppers joins forces with Aavishkaar Frontier Fund for major equ


Comments / {{hitsCtrl.values.hits}} Views / Tuesday, 27 June 2017 00:00

Facebook

Untitled-2

 

As Sri Lanka positions itself in the heart of the global e-commerce landscape, new ventures play a major role in setting the tone. Among the few successful businesses that have grown up very fast to claim majority market share is Grasshoppers Ltd - a highly successful homegrown enterprise that managed to evolve into a leader in the local logistics services sector through the clever use of digital and cyber technologies. Taking a decisive step to speed up the company’s growth to reach its full potential, Grasshoppers founders Dulith Herath, the innovator behind Sri Lanka’s leading e-commerce player Kapruka.com, and Dr. Harsha Liyanage, founder of Sarvodaya Fusion which promotes IT education at the grassroots level across Sri Lanka, recently joined forces with the renowned Aavishkaar Frontier Fund. The move is expected to facilitate the exponential business growth of Grasshoppers combined with generating great social impact by enabling business aspirations of local SMEs and youth in grassroots communities all across Sri Lanka

Q: What is the story and vision behind Grasshoppers?

A: Our story is fascinating. It all started just a year ago with a conversation on a drive where both founders met while heading to an ecommerce conference held at the University of Cambridge, UK. Grasshoppers Ltd. set out to deliver Sri Lanka’s most innovative logistics solutions by using technology (i.e. web tools and mobile apps) to its true potential. At a time when technology defines the lifestyle of every consumer regardless of where they live, in rural Sri Lanka or in urban cities, the unavailability of logistic solutions to the last mile is the key barrier. The co-founders Dulith Herath and Dr. Harsha Liyanage both share the vision and passion to combine technology and social empowerment to ‘connect the disconnected’, thereby facilitating aspiring youth to run businesses in a novel way. This is the premise of Grasshoppers. 

Q: What does this new partnership with Aavishkaar Frontier Fund mean?

A: The market opportunity in front of Grasshoppers is very large. It needs rapid response, hence it demands resources for growth that include capital as well as experience. The partnership with Aavishkaar means that Grasshoppers has the right kind of support to make the strategic, operational and financial decisions to ensure this kind of growth right now. 

It’s a partnership that allows the business to take risks and leaps at the right time. 

Further, the impact focus of the fund is closely aligned to the long-term goal of the unique business model of Grasshoppers, creating synergy between them.

Q: Why Aavishkaar Frontier Fund?

A: Aavishkaar is exactly the kind of partner that Grasshoppers needed. They are well-known as a global pioneer in an entrepreneurship-based approach to development through venture capital investments in businesses working with the low-income population in underserved markets. 

Aavishkaar began with a focus on early stage enterprises operating in India, and with the Frontier Fund it is now working with enterprises in South and Southeast Asia. They have a serious interest in Sri Lanka. The Grasshoppers investment is the fifth investment from its Frontier Fund and its second investment in Sri Lanka. Last year the fund invested in Ma’s Tropical Foods, a well-known food solutions brand from Sri Lanka. Aavishkaar Frontier Fund invests in enterprises in Sri Lanka, Bangladesh and Indonesia. So far Aavishkaar has made more than 58 investments in India and these geographies and currently manages assets of over $ 200 million. 

Q: In addition to the obvious benefits such as business growth, what other benefits can we expect to see out of this partnership, especially in relation to Sri Lanka?

A: The business model of Grasshoppers is very unique. That allows local communities to be part of it and reap the benefits of the company’s growth. While this investment will enable Grasshoppers to meet its goal of creating an island-wide distribution hub network, it will also present extremely valuable income opportunities for local communities participating in the business model. It’s certainly a move that has benefits beyond the circle of company shareholders.

Q: Why did Aavishkaar chose to work with Grasshoppers amidst many new and promising logistics operations coming up throughout Asia?

A: This is because Grasshoppers is different and genuinely sets out to deliver something that makes lives easier in this era of internet and e-commerce. Aavishkaar’s team, with extensive regional experience in the sector, found what Grasshoppers has presented in terms of technology and service offering to be revolutionary, with even more room to grow and innovate. Grasshoppers has developed a proprietary technology stack that facilitates interactions within its logistics supply chain and provides features like traceability of goods through its network, to their clients. 

This has gained traction with different segments of customers including leading e-commerce players, corporates and SME customers. Through the customised product offerings, the model has the potential to meet a gamut of logistics service requirements in the country. Aavishkaar understands this potential and is keen to be part of it.

 


Share This Article

Facebook Twitter


DISCLAIMER:

1. All comments will be moderated by the Daily FT Web Editor.

2. Comments that are abusive, obscene, incendiary, defamatory or irrelevant will not be published.

3. We may remove hyperlinks within comments.

4. Kindly use a genuine email ID and provide your name.

5. Spamming the comments section under different user names may result in being blacklisted.

COMMENTS

Today's Columnists

Is Sri Lanka under the dominance of a powerful cabal?

Saturday, 15 June 2019

There is a saying that “A fish rots from the head”. That is the expression used when a country’s leadership is seen as responsible for violence and unethical behaviour of its supporters and the citizens in general - agitating the majority commu


Behind the scenes

Saturday, 15 June 2019

We see and hear many things happening on the stage. Some we only hear about and do not see. More things are happening without being seen clearly. An observation with extensive view and survey will be the only means of bringing to light the true natur


My way or the Huawei: global battle for 5G dominance and its impact on Sri Lanka

Friday, 14 June 2019

The ongoing battle between the US and the Chinese tech giant Huawei is escalating due to both parties’ eagerness to dominate 5G technology, the next major global technological revolution. It will define the future of the World Wide Web, creating a


Plunder of public property by rulers

Friday, 14 June 2019

While the failure to build the modern nation has been the prime factor that had caused the wretchedness of Sri Lanka, plundering of public property by rulers when they are under their custody can be considered the next vital factor that had exacerbat


Columnists More