GIZTIX, a Thailand-based digital platform for e-logistics, has raised $10 million in a Series B fundraising round headed by WHA Group, Thailand’s fully integrated logistics and industrial facilities solutions business, and Bualuang Ventures, a Bangkok Bank affiliate.
AddVentures, the corporate venture capital arm of Thai conglomerate Siam Cement Group (SCG), and Japan’s venture capital companies KK fund and CAC Capital are among the other investors.
GIZTIX intends to use the new funds to build a wide variety of transportation services and technology for enterprises around the country.
A portion of the money will be used to increase marketing and sales, which will enable transport companies in all provinces to earn more money.
The company also plans to invest in management and technology in order to retain profitability while expanding its business, with a goal of listing on the Thai Stock Exchange in 2025 or within the following four years.
“KK Fund and CAC Capital fully support us on collaborating Japanese enterprises and capital acquisition especially for next round funding,” said Sittisak Wongsomnuk, CEO and co-founder of GIZTIX.
Wongsomnuk also noted that the round’s participation by WHA Group, Bangkok Bank, and SCG allowed the company to further digitise local logistics operators in order to satisfy the country’s need as a regional logistics center.
“To truly win, we need local dominant players to contribute, that’s why GIZTIX has raised funds from Thai listed enterprises,” added Wongsomnuk. “The investors have the same goal is to digitize Thai Logistics infrastructure so the country can have a commercial advantage in the long-term.”
GIZTIX is an e-logistics startup that provides on-demand logistics services and fleet management software to commercial clients. It was founded in 2015. Its transport management system (TMS) enables businesses to outsource delivery services while simultaneously managing their own vehicles.
Clients can manage logistical activities on one platform, decrease paperwork, and improve delivery visibility using GIZTIX’s e-logistics infrastructure. Due to damage and claim elimination, the business claims that its commercial clients have saved 10-30% on logistical expenses while assuring on-time delivery.
The organization also provides a full range of services suited to the demands of corporate clients, all while providing technical assistance in the background.
“The road transport business in Thailand is worth over 19 billion US dollars a year and there is a huge opportunity to grow further as Thailand is also a strategic hub for transportation and logistics in the region,” said Wongsomnuk. “Unfortunately, businesses in the logistic sector still lack digital systems that will connect data and provide real-time communications.”
GIZTIX bragged that the number of transportation trips handled through the platform has increased by more than 420 percent, equal to more than 500,000 transportation journeys per year, owing to the pandemic-induced need for digital transformation.
Currently, the platform manages roughly 3,000 DAU trucks and 50,000 shipments every month.
According to the National Economic and Social Development Council, Thailand’s logistics expenditures are estimated to be US $62 billion (14 percent of GDP), with three key cost factors: transportation (50 percent), inventory (40 percent), and management (10 percent).
