NIGERIA – ShapShap, a delivery platform that specializes in deliveries in Africa’s fragmented logistics industry, has received an undisclosed investment sum from GreenTec Capital Partners, an Africa-focused venture capital firm.
ShapShap is currently providing last-mile deliveries in Abuja and Lagos, Nigeria, using an all-in-one platform that connects customers, drivers, and merchants. GreenTec will help ShapShap through the VC’s Venture Building concept under the terms of the agreement.
The startup’s significant traction drew GreenTec’s attention. More than 30,000 orders have been processed for more than 4,000 consumers on ShapShap platform, and the company now works with more than 100 merchants.
“ShapShap’s innovative approach to delivery and last-mile logistics has great potential to unlock vast opportunities in Nigeria and Africa’s enormous informal services and business markets,” said Erick Yong, GreenTec Capital CEO.
“The platform’s features enable offering their services to a wide range of businesses that can benefit from an efficient and scalable logistics partner.”
Founded in 2019 by Khalil Halilu, ShapShap is an all-in-one platform designed to take the pain points out of delivery logistics for all stakeholders.
Clients may find a variety of services and products, and delivery employees can simply earn money servicing various vendors, thanks to the platform’s B2B and B2C channels, which allow merchants to quickly provide customers easy delivery alternatives.
ShapShap is currently servicing logistics, food delivery, and retail deliveries in Lagos and Abuja, Nigeria.
The latest investment by Greentec Capital Partners is one way the VC firm is consolidating its logistics portfolio. The Germany-based VC firm has previously invested in startups such as Sumundi, Coliba, Amitruck, Kwiks, Ecodudu, among others.
Fintech, retail-tech, ecommerce, cleantech, and agritech firms are among the venture capital firm’s investment interests.
A number of big players in the Nigerian logistics industry have already signed up; ShapShap now counts among its customers Red Star Express, GIG, GMC Logistics and Jaiz Bank. And it has found an enthusiastic partner in Sterling Bank, which is keen to play more actively in the Nigerian transport industry.
In recent years Nigeria has seen an explosion of e-Commerce ventures, seeking to take advantage of Africa’s largest population base and most productive economy.
Ordering online – everything from fast food to groceries to plane tickets, mobile phones and a wide range of services – has become the norm for many Nigerians, especially in the country’s urban centers.
Digital media platforms like WhatsApp and Instagram have enabled small businesses to more efficiently engage with their customers and cultivate new ones.
Micro and Small Businesses currently account for roughly half of Nigeria’s annual gross domestic product of roughly US$400 billion and are a big driver of growth.
Liked this article? Subscribe to DealStreet Africa News, our regular email newsletter with the latest news, deals, and insights from Africa’s business, economy, and more. SUBSCRIBE HERE
