Pakistan-based Jugnu, a B2B E-commerce startup, has succeeded to raise US$22.5 million. The Series A round was headed by Saudi-HQ’d and MENAP servicing B2B marketplace and digital wholesaler Sary in a persistent effort to magnify its market reach.
Sary is a B2B marketplace whose main focus is on the Middle East, North Africa, and Pakistan (MENAP) markets.
Besides, the key strategic investors Sarmayacar and Systems Limited also took part in the round.
Jugnu stated that over one million kiryana (mom and pop) stores in Pakistan do not have access to convenient inventory procurement and that more than two-thirds of retail stores are unable to get serviced directly by any organized supply channel.
Moreover, the startup focuses to resolve these problems by linking retail stores and SMEs directly to manufacturers through its app.
Since the time of its establishment, Jugnu has added more than 30,000 kiryana stores all over Lahore, Rawalpindi, and Islamabad, and now it is expanding into other cities. It has also introduced a scheme buy now, pay later services for kiryana owners.
In 2019 Jugnu was established by the co-founders Sharoon Saleem, Syed Khurram Haider, Yasir Memon, and Ahsan Muhammad Khan.
Along with the investment, Sary has also made its place into a partnership with Jugnu.
“The strategic investment and alliance with Sary paves way for consolidation in the B2B space in MENAP, providing both companies with the ability to leverage diverse expertise and talent transfers across the region,” a joint statement released by the companies.
Furthermore, the startup operates social and economic authorization for small businesses across Pakistan, by producing a B2B platform to channel supplies from large manufacturers to small and medium enterprises.
According to the records in E-commerce 2022 Venture Investment Report, Pakistan’s E-commerce sector witnessed a sharp increase in funding over the last year to near the $100 million mark for the first time in 2021.