Kenyan startup Amitruck raises Kshs. 452M in latest funding round

Kenya-based logistics start-up Amitruck has announced that it has successfully raised $4 million (Kshs. 452M) following a recent funding round from investors.

While commenting on the announcement, Amitruck Chief Executive Officer and Founder, Mark Mwangi, said the funding will be used to lead the startup’s expansion across Africa and to hire teams across its technical, operations, and sales units, including senior leadership.

“We are thrilled about the positive response that Amitruck has received from cargo owners and transporters alike. Transport touches on almost every sector of the African economy and is crucial to its development; we are excited to be part of that journey. Thanks to the support from our investors, we look forward to expanding our footprint across Africa and bringing more carriers and shippers to our marketplace,” said Mwangi.

The trucking and logistics marketplace which was founded in 2019 targets to expand its services across Africa by facilitating a direct interaction between consumers and transporters on their platform.

To date, the platform has had more than 8000 sign ups where drivers on the platform are proactively vetted for quality and reliability.

Mwangi has said says the latest round of funding will be diverted towards new hires, as the start-up eyes expansion into neighboring Uganda and Tanzania.

This combination of convenience, security, efficiency, and competitive pricing, has seen Amitruck grow by 1000% in 2021, piggy-backing off a 400% growth in 2020, despite the hindrances of the pandemic.

The funding round was led by Better Tomorrow Ventures (BTV), a San Francisco-based venture capital firm that targets early-stage startups. Also in the round were Dynamo Ventures, Rackhouse Ventures, Launch Africa Ventures, and several strategic angel investors.

“As an investor in unicorn CloudTruck startup here in the US, we have in-depth knowledge of the operational and financial requirements from truckers. While the trucking and logistic business in Africa has grown tremendously over the years, the pace of innovation particularly in its administration has been slow. Amitruck’s solution is ideal for bringing the industry into the 21st century,” said BTV’s General Partner Jake Gibson.

In 2022 alone, more than $40 million had been invested in Kenyan startups, with fintechs historical dominance set to continue this year.