EGYPT – Egypt based B2B e-commerce platform Fatura, which connects FMCG wholesalers to retailers, has raised a seven-figure US dollars investment to help it expand its operations.
Fatura, clinched the investment in a seed round led by Disruptech, Egypt’s first fintech-centric VC Fund, with participation from EFG EV, and Cairo Angels.
Founded in 2019, the company serves FCMG retailers through an easy-to-use mobile app which enables the retailers to access a database of vetted wholesalers and their catalogues.
The startup leverages the underutilised assets already owned by wholesalers and uses technology to resolve existing supply chain inefficiencies for all relevant stakeholders including retailers, wholesalers, and manufacturers, reports Disrupt.
“Egypt has more than 5,000 wholesalers, investing heavily to build another one will not solve the existing inefficiencies at scale,” said Hossam Ali, Fatura’s co-founder and chief executive officer (CEO).
“Alternatively, we are on a mission to curate a network of 200-250 wholesalers across the country, digitally transform the way they work, and enable them to collectively lead the FMCG distribution business nationally,” he added.
Besides, being a one-stop-shop for over 1500 SKUs, the company is also planning on offering working capital loans to retailers.
They will use data from its transactions to get a better grasp of the behaviour of retailers and the extent to which they are suitable and eligible to receive financial credit.
According to Ahmed Anwar, Fatura’s co-founder and COO, “around 60% of the current wholesale market in Egypt is through on-credit purchases. We will be the first player to unlock the opportunity of digitizing the lending cycle.”
Fatura’s objective is to become the largest e-wholesaler in Egypt and Africa, and it has been boosted in its pursuit of this goal having raised the funding.
Mohamed Okasha, Disruptech’s managing partner, said his firm was excited to lead Futura’s investment round.
“We firmly believe in the opportunity that lies in the digitisation of the wholesale-retail relationship. Disruptech sees Fatura playing an essential role to transform the market and we are committed to helping Fatura achieve its mission,” he said.
Zeina Mandour, General Manager of the Cairo Angels, said, “We are very pleased to have closed this investment round and to have co-invested in this opportunity with other local investors.
“We are very confident in the Fatura team. We have no doubt that they will use this 7-figure investment to scale and provide their services throughout all of Egypt.”
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