Hong Kong-based logistics startup Pickupp announced Wednesday it has raised another $37 million in Series B funding led by Hong Kong conglomerate Jardine Matheson.
Existing investors including Reefknot Investments, Cathay Venture Inc., PChome Online Inc., DRIVE Catalyst, and Swire Properties also joined the round, Pickupp said in a statement.
This third round of funding follows its initial Series A round in November 2020, and Series A+ round in July 2021.
Pickupp said the funding will be used to deepen its presence in Asia and to strengthen its regional logistics network infrastructure, ensuring that the company is better positioned to propel continued growth in quick commerce and e-commerce.
It also said the Series B funding is a significant step in the company’s development and the funding will enable the company to execute a more holistic business plan, and from a strategic perspective, support investors’ businesses and online strategies.
“This financing round is a major milestone for our rapidly growing business in Asia and it’s great to have such strong and continuous support from investors across the region in the past 13 months. We pride ourselves on being an innovative logistics technology company that supports our customers and strategic partners with tech integration and digital-first strategy amid exponential e-commerce growth,” said Crystal Pang, Co-Founder and Chief Executive Officer of Pickupp.
He said he is seeing more strategic partnerships growing across the e-commerce and logistics industries.
“Recently, we have been supporting PChome with our last-mile delivery service, which enables them to deliver the best seamless O2O experience driven by technology and innovation. This round of investment once again demonstrates our customers’ faith in the capability and reliability of our last-mile delivery services, which have earned the trust of notable multinational corporations (MNCs) and digital-first businesses,” he said.
With digital infrastructure advancing in the region, he said the possibilities for mutually beneficial partnerships such as this are growing.
“As a diversified Asia-based group with unsurpassed experience in the region, we are delighted to be the lead investor in Pickupp’s Series B funding. Like Pickupp, Jardine Matheson shares a commitment to technology and innovation, and we see significant opportunities arising from future strategic partnerships,” said Anne O’Riordan, Group Director of Digital at Jardine Matheson.
Founded in 2016, Pickupp is redefining logistics with its transparent customer-centric service and technology. Its customised last-mile delivery services and trademark technology have earned a loyal customer base from notable MNCs and logistics giants to retail and e-commerce.
In the last 13 months, Pickupp has expanded rapidly while continuously diversifying its product portfolio and offerings across all industries and verticals. Pickupp will introduce 10 new satellite warehouses across heartland areas in Singapore by mid-2022. The expansion of these service points, which provides pick up and drop services, micro-fulfilment and warehousing as well as cross-border services, is aligned with Pickupp’s goal of improving the efficiency of deliveries during peak traffic hours and decarbonising its operations by increasing its walker and rider delivery agent pool.
“Quick commerce is becoming more prevalent in Singapore, with more consumers venturing online to purchase groceries and daily necessities. This trend has increased the demand for flexible and faster deliveries, raising the bar for service standards in the last-mile delivery space,” said Lee Chee Meng, Co-Chief Operating Officer of Pickupp.
“Investments in our technology and the expansion of our satellite networks will remain a vital part of our operational strategy as we aim to provide our customers with the most reliable and efficient delivery services,” he added.
To date, Pickupp has worked with 24,000 merchants, with more than 100,000 delivery agents onboard across all regions. The company has seen a user base growth of 94% since 2021, driven by the growing demand of the digital economy.