Quick Smart Wash Secures $5.15 Million Investment from Elan Corporation to Expand Linen Management Services
- ByStartupStory | September 29, 2023
Hospital Linen Management Expansion (QSW) Private Limited, a prominent linen management firm, has successfully secured an investment of $5.15 million from Japan-based Elan Corporation. The company intends to raise an additional $10 million in a Series C funding round.
QSW has already established and operates processing units in key Indian cities, including Jaipur, Manipal-Udupi, Delhi NCR, Hyderabad, Bengaluru, and Jalandhar-Amritsar. In the current fiscal year, the company plans to expand its presence by setting up additional processing units in Kochi, Kannur, Chennai, and Ahmedabad, thereby extending its reach to nine states across the country.
These funds will be instrumental in augmenting the company’s processing capacity. QSW aims to increase its daily processing capacity from the current 35 tonnes (equivalent to processing 100,000 or fewer garments daily) to nearly 55 tonnes (equivalent to processing 165,000 garments daily) within the current fiscal year. Additionally, the company has plans to introduce an inventory management system, marking a significant step towards digitizing the entire inventory management ecosystem.
Rakesh Sharma, Managing Director of Quick Smart Wash Private Limited, stated, “We are a complete end-to-end linen management service for hospitals in India. We plan to augment our strength in the areas of research and development, especially in catching future trends and delivering high-quality and affordable service to the market.”
The segment served by Quick Smart Wash, which includes healthcare, educational institutions, and the hospitality sector, is estimated to be worth nearly $4 billion annually. The overall laundry market in India, encompassing both B2B and B2C segments, accounts for a substantial $15 billion per year.
Hideharu Sakurai, Chairman and CEO of Elan Corporation, highlighted the tremendous potential of Quick Smart Wash in India’s emerging linen rental business, underscoring the synergy between the two companies.
Quick Smart Wash is strategically planning to secure additional capital before its IPO as it aims to expand its presence across India in the coming years. The company has set a target of capturing a 10 percent share of the hospital linen management sector and increasing its processing capabilities to 200 tonnes per day, equivalent to processing almost 600,000 garments daily. This expansion will see its presence in nearly 15 states across the country.
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