Elbee Express, one of the fastest growing express delivery companies in India, today announced a Rs. 200 crore expansion plan over the next 3 years.

The initial investment by Clearstone Venture Mauritius and Mr. Rakesh Jhunjhunwala of approximately was Rs. 25 crores with an equal amount invested by the promoters. Previously, Kotak Mahindra Investments also took a minority stake in the company. The promoters hold a majority stake in the company. The investments will be used to develop world class infrastructure, expand the network and enhance technology.

According to Mr. Nikhil Shah, Executive Director of Elbee Express, “We have an aggressive expansion plan to double the number of branches in the next 4-5 months. With this Elbee Express will be covering over 15,200 locations in India. Through this we are looking to provide a wider distribution reach to our premium customers in Tier II and III cities.”

Subsequently Mr. Rahul Khanna, Director of Clearstone Venture Advisors will join Elbee Express’s board of directors.

“We are delighted with our investment in Elbee Express, one of the fastest growing express delivery companies in India,” said Mr. Jhunjhunwala

According to Mr. Rahul Khanna, Director of Clearstone, “We are excited about our investment in Elbee Express as we see the company’s superior technology and high service standards giving it an edge over its competitors in the industry.”

According to an AC Nielsen study instituted by the Express Industry Council of India (EICI), the courier industry in India is estimated to be around Rs. 6,200 crore and is expected to grow at 25%-30% over the next five years. As against this, a study conducted by Booz Allen Hamilton shows China’s express industry size is currently over Rs. 25,000 crore with a 40%+ growth rate.

“We aim to be the leader in our industry in the next 5 years by deploying superior technology and setting new benchmarks in customer service. Elbee Express is the only domestic express company in India offering live tracking with the most advanced technology,” says Mr. Shah.

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About Elbee Express

Elbee Express is one of the leading express companies in India. The Company has an integrated express services network which covers over most geographical areas within India. Elbee Express offers swift and definite transportation and distribution of its customers’ consignments which include documents, parcels and commercial goods. With the Company’s web-based tracking system, eTABS, Elbee Express offers its customers up-to-date information from point of pickup to point of delivery.

About Clearstone Venture Mauritius

Clearstone Venture Mauritius is the international investing arm of the US venture capital firm Clearstone Venture Partners with offices in Bangalore and Mumbai. Clearstone Venture Partners has more than $650 million of funds under management for investing in high-growth, early stage companies. In India Clearstone has invested in IndiaIdeas Ltd (BillDesk), DigiBee (DGB) Microsystems, and Games2win.

About Rakesh Jhunjhunwala

Rakesh Jhunjhunwala is one of the better known equity investors in India. He has been a keen and active participant in Indian capital markets since 1985. He has been profiled as one of India’s best five investors by Business India magazine in 1998. His views are constantly sought after by the media and he regularly interacts and shares his opinions with the investing community. He is also on the Board of Aptech, Bilcare, Concord Biotech, Geojit Financial Services, Innovasynth Technologies, Mid Day Multimedia, Nagarjuna Construction, Praj Industries Ltd., Prime Focus Ltd., Provogue India, Viceroy Hotels Ltd. and Tops Security, among others.