Pakistan’s e-grocery startup, GrocerApp, has raised $5.2 million in a Series A round led by Hayaat Global, it was announced on Monday.
Wamda, Millville Opportunities Fund New York, Saudi-based Nama Ventures, Jabbar Internet Group, China-based Haitou Global, Pakistan-based LeanBricks, Walled City Capital and several other angel investors also participated in this round.
GrocerApp was founded by Ahmad Saeed, Hassaan Sadiq, and Rai Bilal in 2016 to revolutionise grocery shopping in Pakistan. The startup’s online platform allows households in Pakistan to order their groceries through their web and mobile apps.
After launching its services in Lahore, the e-grocery startup expanded its operations to Islamabad and Rawalpindi last year, followed by Faisalabad . GrocerApp plans on using this investment to boost its current operations and also penetrate the Karachi market.
As the startup scales , it said that its annualised revenue has exceeded the $15-million mark.
“We are thrilled to have experienced investors as partners helping us not just with capital, but their operational and domain expertise,” said GrocerApp CEO Ahmad Saeed. “With the new funding round, we plan to quickly expand our offerings to strategic cities as well as expanding new business initiatives in the online grocery retail segment,” he said in a press release.
Increasing mobile penetration and internet adoption in Pakistan has opened up new opportunities for startups. Moreover, online shopping and e-commerce have also grown due to Covid-19 that has made it difficult for consumers to access household essentials due to frequent lockdowns.