Dubai-based last-mile delivery startup iMile has secured around $10 million in a fresh funding round, according to media reports.
iMile will use the funding to further expand its business in Middle Eastern markets such as Saudi Arabia, Kuwait, and Egypt, as well as expand its workforce.
Reportedly, the funding round for iMile was led by an unnamed venture capital firm active in the Chinese logistics market.
With regard to the fresh funding round, founder and chief executive at iMile, Rita Huang told the media, “Improving iMile’s tech prowess, customer experience and hiring new talent are our top priorities in the coming months. Some analysts say that logistics is out-of-fashion now but as a next-generation company, we see massive potential.”
“Our aim is to develop local solutions and technology to address regional needs. An indigenous R&D centre would also promote knowledge and capacity building in the region. This funding will enable us to continue our work of creating innovative last-mile solutions and scale our business.”
Currently, iMile operates in Saudi Arabia and the UAE. It has two R&D centres in China and the startup is planning a third in the Middle Eastern region.
Established in 2017, iMile facilitates the movement of goods from a transportation hub to the final destination as fast as possible. Its list of clients includes Amazon, Mumzworld and Noon.
iMile also offers warehouse and fulfillment facilities in the UAE and Saudi Arabia. Currently, the company has around 700 employees across the UAE, Saudi Arabia, and China.
According to UK-based Brandessence Market Research, the last mile delivery market is forecast to reach $61.57 billion over the next five years, almost double of $31.19 billion in 2018. It is expected to expand at a compound annual growth rate of 10.2 percent.