Bosta, Egypt based courier start-up, has closed a seven figure amount Series A round of funding led by European delivery giant DPD Group.
Egyptian e-payments company Fawry that has previously invested in Bosta in 2017 also participated in the recent round.
Bosta was founded in 2017 by Mohamed Ezzat, Ahmed Gaber and Mohamed El-Houssainy. It is the first on-demand and same-day delivery provider in Egypt. Bosta aims to disrupt the logistics industry by bringing vision, technology, and experience altogether to provide a one-stop-shop for delivery solutions. The start-up relies on advanced technology to help deliver in a short time and collect cash faster. It provide businesses with next-day delivery, handles exchange shipments, customer returns and cash collection.
Bosta provides an all-in-one system by connecting users to a courier to deliver packages, enabling the users to order deliveries, track couriers, and follow up on cash collection. It offers different types of last-mile delivery solutions to e-commerce businesses in Egypt. Till now, the start-up that has served over 5,000 businesses and has grown over ten times in the last twelve months. According to co-founder and CEO of Bosta, Mohammed Ezzat, the start-up delivers 150,000 parcels a month now. It has a 97% successful delivery rate.
Bosta does not have salaried drivers. Instead, it uses an Uber-like asset-light model with the drivers on its network being freelancers who earn money for every completed parcel delivery.
Statements from Bosta
“If you look at the logistics sector, you also see a lot of successful companies operating around the world and we’ve been witnessing massive growth at Bosta.”, said Ezzat.
Ezzat also explained that Bosta plans to use the investment to grow further and hopefully lead the ecommerce delivery market in the country. It is also exploring the option of expanding to some other regional markets and now has a great partner in form of DPDgroup to help it realize this vision.
“We are thrilled to be one of the key pillars of this movement, and DPDgroup’s investment only solidifies our role even further,” said Ezzat.