Kenya-based logistics startup Bwala Africa Group is planning to raise around $8 million in a fresh round of funding. Reportedly, the Kenya logistics startup is in talks with numerous venture capital and private equity firms.
According to Bwala Africa’s founder and CEO Kennedy Nyabwala, the Kenya logistics startup will use the fund to expand its business Nigeria, Ghana, and Tanzania as well as hire additional staff.
Bwala Africa also secured a deal worth $800,000 with an undisclosed European technology firm to develop a new logistics technology platform for the startup.
Kennedy Nyabwala told the media that, “We have made over 100 000 last mile order fulfilments and with our new apps, which should go live by January 2020, we will be able to reach areas and regions without necessary having a brick and mortar office.”
He added, “This means once published, you can be a Bwala shipping agent by collecting orders for fulfilment or being a full-time delivery agent who gets orders on a daily basis for last-mile deliveries.”
Currently, Bwala Africa completes between 700 – 850 shipments a day. Its client base includes e-commerce firms, manufacturers and retailers. With the new funding, the startup’s plan to make between 6,000 and 8,000 drops a day and to have over 2,000 registered agents in Kenya who will assist with the placement of orders and recruitment of new last-mile partners.
Earlier this year, the startup secured an undisclosed amount from Silicon Valley investor Justin Caldbeck. As a part of the deal, Justin Caldbeck joined Bwala Africa’s board members.
Founded in 2017, Bwala Africa operates from a 12,000 square metre warehouse in Nairobi and caters to the logistics demands of its clients.