Sendy Limited, Mobility 54 Investment SAS and Saviu Ventures jointly invest in Kamtar - a digital logistics platform in West Africa.
October 6, 2021
Sendy Limited (“Sendy”) and Mobility 54 Investment SAS ("Mobility 54") - the corporate venture capital (“CVC”) subsidiary of Toyota Tsusho Corporation ("Toyota Tsusho") and CFAO SAS ("CFAO") - decided to participate in the series A funding of Kamtar International (“Kamtar”) alongside the venture capital firm Saviu Ventures.
1. Background
Demand for efficient logistics solutions in Africa is augmenting because of a rapid economic growth, the rise of e-commerce and the start of the African Continental Free Trade Agreement (AfCFTA), which commenced in January 2021. According to the World Bank, AfCFTA is set to increase intracontinental trade from 294bn$ to 532bn$ in 2035. The logistics sector will play a vital role in these developments as the goods will need to be exchanged efficiently across country borders. Currently, this sector is facing heavy inefficiencies due to its informality and fragmented structures which lead to higher cost of logistics. As mentioned, this is not a viable environment since demand is rising and the sector needs to meet expectations. Thus, a plethora of start-ups and firms are emerging to upgrade this sector with many improvements in the horizon.
2. About Kamtar International
Kamtar is a major digital logistics platformer in French-speaking West Africa – established in 2018 – directly connecting consignors of goods (i.e. construction companies, consumer goods manufacturers, e-Commerce operators, etc) and its logistics operators. Over 5,000 drivers are registered under their platform as of today.
Kamtar’s digital platform enables efficient delivery operations, as well as cost reduction, by eliminating intermediaries and negotiation in terms of delivery services (i.e. pricing, destinations, delivery dates etc) that the consignors and operators had to tackle each time on a case-by-case basis.
It also drastically improves the transparency and reliability of delivery services, which has been a huge challenge for the logistics sector in Africa, with its platform which enables real-time tracking of delivery status.
The company already operates in Cote d’Ivoire and Senegal, while planning to expand into other countries by the end of 2022 under the partnership with Sendy and Mobility 54.
3. Purpose of Investment
Sendy’s investment and partnership with Kamtar is in accordance with its long-term strategy to become a Pan-Africa logistics platform. While Sendy will bring its deep tech expertise and its larger range of services to reinforce Kamtar’s operation and scaling in West Africa, Kamtar will also bring its large customer network in French-speaking West Africa.
Through Mobility 54’s participation, Toyota Tsusho/CFAO group is committed to support both Sendy’s Pan-Africa expansion and Kamtar’s product development operationally and financially. The group will also engage in increasing the use of Kamtar/Sendy’s logistics services by leveraging its vast network in French-speaking West Africa in the automotive, consumer goods and retail sectors in order to generate win-win synergies.
Toyota Tsusho/CFAO group, through its CVC – Mobility 54 –, will continue to invest in startup partners with innovative technologies and services for Africa. The group is pursuing to solve the social and industrial challenges in Africa by supporting expansions of innovative partners’ businesses and creating strong synergies between our group and potential partners.
