Egyptian e-commerce fulfillment startup, Mylerz secures $9.6M to scale its services across Africa
Mylerz, an Egyptian e-commerce fulfillment startup has secured $9.6 million from a Lorax Capital Partners-led investment round with participation from Fawry to scale its services across Africa.
The startup’s immediate plan is to enter three new markets in North Africa and expand across Egypt over the next three months, while Fawry, its payments partner, which is one of the biggest e-payment companies in Egypt, will provide electronic payment and cash collection services. Mylers is also targeting the growing e-commerce market in East Africa, with the long-term goal of growing into a pan-African shipping logistics provider.
“Our immediate plan is expanding across Egypt, opening new markets, and facilitating cross-border trade for our customers. We have the right partners to make this happen and to grow our end-to-end logistics platform,” Mylerz Founder and CEO, Samer Gharaibeh said.
“Fawry’s over 250,000 agents will help us deposit cash collected from buyers since cash on delivery is still the preferred method of payment in Egypt. This will make our business less risky, and the reduced risk means that we can grow much faster,” the CEO explained.
Ashraf Sabry, CEO of Fawry, said the investment in Mylerz is part of its strategy “to build an integrated commerce ecosystem in Egypt and explore international expansion opportunities with strong partners like Mylerz and Lorax.”
Samer Gharaibeh, Founder and CEO of Mylerz
With his over 23 years of solid work experience at Aramex, a UAE-based multinational logistics and fulfillment company, Samer Gharaibeh founded Mylerz in 2019 with the vision of it being ”the preferred pan-African logistics provider and e-commerce partner.”
“Because of my experience at Aramex, I understand the regulations of different countries in Africa and know the right kind of partnerships to have, to be successful. I’m using this knowledge and experiences to make Mylerz the preferred pan-African logistics provider and e-commerce partner,” Gharaibeh said.
Mylerz platform allows its partners to track the orders sent out for delivery, change destination or delivery time, and generate business insights like consumer behavior and demographics.
Mylerz claimed to have delivered 2 million packages so far and runs 21 fulfillment centers with plans to open a 25,000 sqm hub, its biggest so far, to keep up with the growing demand for storage, order processing, and,last-mile deliveries. The startup says it provides same-day deliveries on behalf of hundreds of its partners.
“We operate a decentralized system, and these hubs, which are close to our customers, help us to consolidate the packages and dispatch for deliveries fast enough to meet our promise of same-day delivery,” he said.
Mylerz also operates a fleet of over 350 eco-friendly vehicles powered by compressed natural gas (CNG). The initial cost of these vehicles is higher when compared to conventional ones but this is offset by their less fuel demand.
Ashraf Zaki, the Managing Partner at Lorax Capital Partners, explained why Lorax is backing Mylerz to become the continent’s first fully integrated e-commerce logistics player, “ Mylerz has leveraged its know-how and premium technology offering to address several problems associated with last-mile delivery in Egypt including complex routes, the prevalence of cash, and diverse merchants with diverse needs. Lorax is backing Mylerz to become the continent’s first fully integrated e-commerce logistics player, bringing a unique blend of premium customer service and efficient delivery services to regional businesses and consumers alike.”