PostEx, one of Pakistan’s top FinTech companies, has successfully closed a US$7.3m pre-Series A funding round. The investment was spearheaded by Conjunction Capital, a global venture capital firm with a technology focus. Participating in this round were new investors including Dash Ventures and Sanabil500, alongside existing investors VSQ, FJ Labs, and Zayn VC.
PostEx operates at the intersection of FinTech and logistics, providing innovative financial solutions integrated with logistics services. The company offers immediate capital access, overcoming traditional financing barriers, while its embedded logistics solutions enhance the efficiency of ecommerce deliveries, addressing cash flow challenges for its clients.
The newly acquired funds are earmarked for strengthening PostEx’s market leadership in Pakistan and supporting its ambitious expansion plans into the Gulf Cooperation Council (GCC) countries. This expansion is expected to open new markets and customer bases to PostEx’s services.
Amid a favorable market environment, PostEx is disrupting traditional finance and logistics industries within Pakistan. The nation’s ecommerce sector, though only accounting for 1-2% of total retail transactions, presents significant growth opportunities compared to the global average of approximately 15%.
In the last 18 months, PostEx has achieved numerous financial and operational milestones, including reaching an Annual Recurring Revenue of $21m and attaining profitability. The company, now processing over four million transactions monthly, has maintained its market leadership for the past two years, showing remarkable growth since its inception less than three years ago.
PostEx CEO and Founder Muhammad Omer Khan highlighted the importance of accessible capital for ecommerce businesses in the region, stating, “While the GCC & Pakistan have a thriving and fast-growing ecommerce landscape, the reality is that legacy financial institutions don’t fulfil the needs of digital entrepreneurs and online businesses. Ecommerce businesses need access to flexible and affordable funding solutions and our mission at PostEx is to empower online sellers by addressing their most critical challenge: access to the right capital to grow their business through our advanced embedded logistics solution.”
Conjunction Capital’s Managing and Founding Partner, Kirill Kozhevnikov also emphasized the strategic value of the investment, saying, “Our investment in PostEx underscores the strategic importance of the Saudi Arabian market as a key growth area within the GCC. PostEx’s innovative approach to integrating FinTech with logistics positions them uniquely to address the evolving needs of e-commerce businesses in this region. We are committed to supporting their expansion and driving further advancements in the market.”
Additionally, PostEx expanded its operational footprint across Pakistan by acquiring the logistics service provider, Call Courier, in 2022. Before this round, the company had raised US$8.6m from several investors, including Global Founder Capital, MSA Capital, and Shorooq Partners.
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