Algorhythm Holdings (a diversified technology-driven holding company) announced the acquisition of India-based SMCB Solutions (SemiCab India). This marks Algorhythm’s second transaction with SemiCab following the acquisition of its U.S. business in July 2024.
Deal terms: Under the terms of the deal, Algorhythm’s subsidiary, SemiCab Holdings, LLC, acquired 9,999 of the 10,000 issued and outstanding equity shares of SemiCab India. In exchange, Algorhythm issued a $1.75 million promissory note and 119,742 shares of its common stock (approximately 5% of Algorhythm’s issued and outstanding shares) to SemiCab.
Company highlights:
- SemiCab India has more than doubled its annualized revenue run rate since January 2025 from about $1.8 million to about $4.5 million and anticipates doubling it again by year-end.
- A multinational client base with existing contracts with leading FMCG (fast-moving consumer goods) companies in India offers a path to scaling operations in the future by over 25x into a fast-growing and highly dense geography.
India’s massive logistics sector is going through rapid modernization. And in 2021, the Indian government launched the Gati Shakti National Master Plan, a multi-ministerial infrastructure initiative aimed at digitally integrating supply chains nationwide. As part of this initiative, the National Digital Freight Exchange (NDFE) – a public-private consortium led by the Confederation of Indian Industry – picked SemiCab as its AI logistics partner. Over 40 national and global enterprises are members of NDFE, and over a dozen have already initiated pilots with SemiCab’s Collaborative Transportation Platform.
This platform improves visibility into the entire transportation network by providing live tracking for every load. And the platform can identify, create, and execute real-time collaboration opportunities between shippers and transporters – without altering business workflows. Plus, the platform integrates with existing TMS systems for automated indenting, invoicing, and real-time shipment visibility, and utilizes platform bots for extracting information and automating repetitive tasks.
KEY QUOTES:
“We’re thrilled to complete the acquisition of SemiCab’s Indian operations. India represents one of the world’s most compelling logistics opportunities due to its geographic density, strong institutional partnerships, and accelerating infrastructure investment. With this transaction, we gain direct access to top-tier multinational customers and a rapidly scaling AI platform positioned to disrupt the global freight market.”
Gary Atkinson, CEO of Algorhythm Holdings
“Transportation and logistics in India is going through a huge transformation. In partnership with NDFE and all our industry partners, we are building a technology infrastructure as the Government of India transforms the physical infrastructure in the country. This is the largest and most ambitious Collaborative Transportation initiative being supported by some of the largest and most progressive organizations worldwide. We are excited to have Gary and the Algorhythm team behind us in our quest to create the most efficient transportation networks one geography at a time.”
Ajesh Kapoor, CEO of SemiCab Holdings
