Sendy is presently in superior negotiations for an acquisition, with an official announcement anticipated quickly. The startup has encountered vital challenges attributable to declining investor funding inside the African startup ecosystem.
According to sources near the matter, logistics startup Sendy is allegedly in the means of handing over its enterprise to a brand new proprietor. The Kenyan firm, which has been in operation for almost a decade, has been battling sustainability challenges after a number of lay-offs and enterprise choices that pressured it to desert a few of its merchandise.
It is unclear which firm will purchase Sendy, though TechCabal confirmed that the agency is engaged in a transaction that may basically see its possession change quickly. In the identical breath, particulars about the transaction price haven’t been revealed. It can also be unclear whether or not Sendy will additional trim its staff or the new house owners will hold the headcount intact. Sendy declined to remark right now.
Recent layoffs and funding
Following the finish of the COVID-19 pandemic, a number of key know-how firms and startups launched into mass layoffs to trim their headcount after large hirings throughout the lockdown. Workers had been laid off attributable to financial downturn, monetary pressure and general enterprise uncertainty. Sendy was certainly one of the firms that despatched residence employees.
In 2022, Sendy shifted its focus from a provide service for retailers to concentrating on end-to-end achievement, resulting in its determination to stop operations in Nigeria. At that point, Sendy mentioned it could purpose to match on-line consumers with applicable logistics suppliers. Its achievement service remained unaffected in different markets. This strategic change meant Sendy was transferring away from its asset-heavy mannequin in Nigeria, streamlining its method primarily based on market calls for since its launch there in late 2021.
In late 2022, Sendy secured undisclosed monetary help from MOL PLUS, the enterprise capital division of Japanese transport agency Mitsui O.S.Ok. Lines, Ltd. This funding, seemingly performing as a rescue fund, aimed to stabilise Sendy whereas the logistics startup strategised its future strikes. The funding discussions with MOL PLUS appear to have aligned with Sendy’s proactive efforts to scale back prices.
In 2018, Sendy concluded a Series A funding spherical, utilizing the funding to boost its vary of companies, develop its workforce, and put together for the East African market. By 2020, the firm had secured a $20 million Series B funding, with Atlantica Ventures taking the lead. This spherical additionally noticed participation from Toyota Tsusho Corporation, the commerce and funding division of Japanese automotive large Toyota. Sendy can also be certainly one of the first beneficiaries of Safaricom Spark Fund, a $1m funding automobile concentrating on rising startups.
…. to be continued
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