Pakistan’s on-demand platform Bykea raises $13 million in Series B funding
Bykea, a Pakistan-based on-demand transport & logistics platform, announced today that it has raised a Series B funding round led by Prosus Ventures (formerly Naspers Ventures). The round, which brought the total funds raised to US$22m, saw participation from existing investors Middle East Venture Partners and Sarmayacar.
As the pioneer and leader in motorbike taxi and on-demand delivery in Pakistan, Bykea plans to invest significantly in its platform strategy leveraging its peak active driver fleet of 30K+ in 2020 for cross utilization in e-commerce logistics, food and payment services in 2021. The fresh capital will also be used to expand Bykea’s market reach in smaller cities where international players have struggled to grow their English-language platforms in a country where no more than 10% comprehend English.
“Bykea is one of the few internet businesses offering an interface in the Urdu language and we drive our competitive advantage from being highly localized. This approach has helped us become the preferred partner for part-time motorbike gig workers. Our brand is now widely used as a verb for bike taxi and 30 minute deliveries, and the fresh capital allows us to expand our network to solidify our leading position” said Muneeb Maayr, Founder at Bykea.
The three cities Bykea operates in, Karachi, Rawalpindi and Lahore, have a combined population of 30 million people. Public transportation is underserved in all three cities, but these urban centers drive the economy of the 5th most populous country in the world. Motorbikes are the rails for distributors, couriers, ecommerce retailers and restaurants to move goods and collect receivables, almost entirely in cash in one of the least banked countries in the world. With 17 million two-wheelers in Pakistan; 4x the number of cars; Bykea offers millions of people the chance to earn an income by tapping into the tremendous opportunity in the country for both transport and hyperlocal commerce.
“Pakistan is primed to experience extremely strong growth in internet services over the next decade, with a rapidly increasing middle class. This growth provides immense opportunity for companies like Bykea that are transforming big societal needs like transportation, logistics and payments through a technology-enabled platform. Bykea has already seen impressive traction in the country and with our investment will be able to execute further on their vision to become Pakistan’s ‘Super-App’.” said Fahd Beg, Chief Investment Officer, Prosus.
Bykea is an on-demand platform that connects urban Pakistanis for transport, logistics and payment services. The company was founded with a vision to empower millions to connect, communicate and trade.
Bykea’s platform is fueled by a network of predominantly part-time drivers ferrying people, parcels and payments on motorbikes. The platform consists of six categories servicing consumers locally; transport or bike-taxi services, instant delivery, supermarket/nearby store concierge services, bill payments and deliveries originated from classified listings.
Bykea also provides payment services by offering cash-on-delivery (COD) and cash-in capabilities to billers and leading wallets in the country.
Prosus is a global consumer internet group and one of the largest technology investors in the world. Operating and investing globally in markets with long-term growth potential, Prosus builds leading consumer internet companies that empower people and enrich communities.
The group is focused on building meaningful businesses in the online classifieds, payments and fintech, and food delivery sectors in markets including India, Russia and Brazil. Through its ventures team investments, in areas including edtech and health, Prosus actively seeks new opportunities to partner with exceptional entrepreneurs who are using technology to address big societal needs.
Every day, millions of people use the products and services of companies that Prosus has invested in, acquired or built, including Avito, Brainly, BYJU’S, Codecademy, ElasticRun, eMAG, Eruditus, Honor, iFood, LazyPay, letgo, Meesho, Movile, OLX, PayU, Red Dot Payments, Remitly, SimilarWeb, Shipper, SoloLearn, Swiggy, and Udemy.
Similarly, hundreds of millions of people have made the platforms of its associates a part of their daily lives: Tencent (www.tencent.com; SEHK 00700), Mail.ru (www.corp.mail.ru; LSE: MAIL), Ctrip.com International Limited (“Ctrip”) (NASDAQ: CTRP), and DeliveryHero (www.deliveryhero.com; Xetra: DHER).
Today, Prosus companies and associates help improve the lives of around a fifth of the world’s population.Prosus has a primary listing on Euronext Amsterdam (AEX:PRX) and a secondary listing on the Johannesburg Stock Exchange (XJSE:PRX), and is majority owned by Naspers.
Prosus has a primary listing on Euronext Amsterdam (AEX:PRX) and a secondary listing on the Johannesburg Stock Exchange (XJSE:PRX), and is majority owned by Naspers.
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