EGYPT – Egyptian last-mile delivery and fulfillment innovation company, Mylerz has secured US$9.6 million seed funding to scale and expand its operations in Egypt and North Africa.
The latest seed funding round was led by Lorax Capital Partners, an Egypt-based private equity firm with participation from Fawry.
The start-up will use the funds to fuel expansion plans in North Africa by Q3 2022 as well as construct and open a new AI-enabled, automated 25,000 sqm cross-docking fulfillment center in Cairo by Q4 2022.
As Mylerz expands to Algeria, Tunisia, and Morocco, Fawry, its payments partner, will come along to provide electronic payment and cash collection services.
Launched in 2019, Mylerz currently operates a fleet of over 350 eco-friendly vehicles and 21 local fulfillment hubs strategically positioned across Egypt.
The fulfillment hubs are spread out to ensure that they are in close proximity to customers for faster deliveries.
The company hit the milestone of two million packages delivered within two years of launching. Mylerz’s proprietary logistics management technology allows it to deliver e-commerce products to customers in city centers as fast as same-day delivery.
The start-up addresses a key market need for its e-commerce customers by providing an end-to-end solution that bundles fulfillment with last-mile delivery.
The company is servicing Africa’s booming e-commerce industry which is forecasted to be worth US$180 billion by 2025.
By offering cash on delivery as well as a full range of delivery services and tech-enabled merchant tools, Mylerz is enabling the growth of e-commerce in Egypt and its new markets of Tunisia, Algeria, and Morocco.
“We are excited to announce the close of our first funding round. Mylerz has proven that its technology and model can be successful in a city as complex as Cairo,” said Samer Gharaibeh, Mylerz Founder & CEO.
Through the funding, the platform will enable Fawry’s over 250,000 agents will help the start-up deposit cash collected from buyers since cash on delivery is still the preferred method of payment in Egypt.
“This regional footprint will allow our customers to benefit from connected trade corridors across markets, which is key for our wider strategy to position Mylerz as the leading logistics partner for e-commerce across Africa,” added Gharaibeh.
The start will take advantage of the increased e-commerce in the North Africa region accelerated by the Covid-19 pandemic to reach many clients and SMEs.
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