Kenya’s Twiga Foods Ltd which operates a mobile-based business to business food supply platform has announced that it has successfully raised Sh 1.3 Billion ($12.78M) in series A funding.
The funding was led by Wamda Capital and includes Omidyar Network, DOB Equity, Uqalo, 1776, Blue Haven Initiative, Alpha Mundi, AHL, USAID and GSMA.
The investment is in form of $6.3million in equity and $4 Million in debt instruments and will go towards expansion of the business by enabling it to increase the number of vendors, diversify its product portfolio, and introduce advanced supplier services. Twiga also secured US$2 million in grant funding from USAID and the GSMA to support bolster farmer services, financial inclusion and domestic food safety initiatives.
Twiga Foods was founded in 2013 and it enables vendors to order supplies bananas using its platform. It supplies pineapples, tomatoes, and more. Currently, Twiga is considered the largest distributor of several basic food staples in Kenya, having sold over 55 million bananas and delivering over 4,000 orders a week.
Commenting on the investment, Twiga Foods Co-Founder Grant Brook noted, “Twiga is an outcome of the Nairobi startup ecosystem, the years of investments that have gone into developing talent, supporting hubs, and attracting capital to the market.”
Fadi Ghandour, the chairman of Wamda Capital will be joining the Twiga Board of Directors.
“We are particularly excited in beginning our investment program in East Africa by supporting this remarkable set of entrepreneurs building a truly disruptive business. Drawing on our experience in the logistics and supply chain space, we believe Twiga has developed a unique solution to address the inherent inefficiencies in the delivery of fresh produce in East Africa with significant positive impact for both producers and consumers” said Fadi Ghandour.
Ory Okolloh, the director of investments at Omidyar Network said, “We are pleased to support Twiga and its mission of helping Kenya create a more sustainable, scalable farm produce ecosystem,” said Ory Okolloh, director of investments at Omidyar Network.
Source; Wamda Capital