GrocerApp raises $1 million in seed funding from investors

LAHORE: An online grocery delivery startup, GrocerApp has raised US$1 million in seed funding from investors that include former Amazon executives and entrepreneurs.

"The round was led by Dubai-based Jabbar Internet Group (www.jabbar.com), the venture capital firm led by founders of one of the Middle East's largest e-commerce platform souq.com that was acquired by Amazon in one of the largest transactions in the region in 2017. The GrocerApp investment is the first that Jabbar Internet has made in Pakistan," said a GrocerApp's spokesperson here on Thursday.

Other investors in the round include Asif Keshodia, former Amazon executive for MENA region who has now joined GrocerApp as a board member, Middle East's Nama Ventures, Nader Group, Karavan Ventures and 7Vals, along with participation from existing shareholders that include Pakistan-based Walled City Co, LeanBricks and Shehryar Ali of Treet Pakistan.

Speaking about the recent round, GrocerApp CEO Ahmed Saeed said that GrocerApp is equipped with sophisticated technology, smart fulfillment centers and efficient logistics network that make it the leading e-grocer in Pakistan. "With our recent funding injection, we are going to invest more to make our supply chain more efficient, and expand into other cities, he added.

"Our success in this round is twofold. Asif, Hussam and Samih have shown confidence in GrocerApp and decided to back us, which reinforces our position as a promising e-commerce leader. Secondly, the tons of experience these investors bring will usher in a new era of growth for GrocerApp," he said.

Samih Toukan of Jabbar Internet Group said that they see great potential in Pakistan for technology businesses. "To seize the opportunity, we have made our first investment in Pakistan in GrocerApp because of our confidence in the business and resilience of the cofounders. We are determined to see GrocerApp grow even further, now that the Pakistani market is ripe for a digital revolution," he added.

Commenting on the investment, Asif Keshodia, who also oversaw Souq's acquisition by Amazon, said, "The size of grocery e-commerce in Pakistan is around US$48 billion. It is a huge market with great potential for e-commerce companies to grow. GrocerApp has shown that promise and I am thrilled to become a part of an amazing team that is leading this company.

Copyright Business Recorder, 2020