Many global companies like Amazon, Alibaba and JD have built massive companies by leveraging strong logistics infrastructure. The biggest problem for many companies, especially eCommerce businesses across emerging markets, particularly in Africa, has been the lack of strong 3PLs (third party logistics) that can provide end-to-end integrated logistics at scale.
PAPS, the Senegalese startup aiming to bridge this gap, has raised $4.5 million in Series A funding to scale their tech-enabled logistics solution across the Francophone region.
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Having inefficient or inadequate systems of transportation, logistics, and trade-related infrastructure can severely impede a country’s ability to compete on a global scale
The round was co-led by 4DX VENTURES — a pan-African venture capital firm — and ORANGE — a regional telecom operator. Other investors taking part include existing investors such as Saviu Ventures and Uma Ventures and new investors Yamaha Motors, Lofty Capital, Proparco, Google Black Founders Fund, To.org, Kepple Ventures and Enza Capital.
Founded in 2016, PAPS aims to offer end-to-end logistics solutions for business with both offline and online operations.
With the largest last mile fleet in Senegal, PAPS has so far made over 10 million deliveries across Senegal and Ivory Coast.
PAPS co-founder and CEO Bamba Lo said: “I am proud of the amazing work done by all of the PAPS teams which has enabled us to make this fundraising a reality today. Our ambition is clear: become the first pan-African logistics provider with international standards. We made it our mission to help our clients to be more productive and efficient, everyday. I am also delighted by the trust granted by these renowned investors, who are joining us to build the logistics of tomorrow.”
Walter Baddoo, Cofounder and General partner 4DX said “We have been impressed with the PAPS team’s execution thus far and their dedication to creating a truly innovative business in the logistics space. We believe technology has a critical role to play in modernising Africa’s logistics infrastructure and we look forward to further partnering with Bamba and the PAPS team on this next phase of their growth”.
PAPS has built a strong brand and track record in Senegal and Ivory Coast and is going to invest this capital raised into geographic expansion across other countries in West Africa.
Historical investor of PAPS, Saviu’s co-founder Arthur Thuet said: “The development PAPS went through in the past 4 years and the growth we have seen in that timeframe are amazing and position the company as one of the leading innovative providers of logistics solutions in West Africa. We are proud to back Rokhaya, Bamba and their team.”
Read more: Kenyan logistics startup secures funding
Featured image: Supplied