Founded in 2015 by Lars Veul and Derk Hoekert in Cape Town, Pargo offers smart logistics solutions for e-commerce via its extensive network of 4,500 tech-enabled pickup points across Africa, linking major retailers such as Amazon, Bash, and Jumia with a customer base exceeding 10 million online shoppers.

The recent $4 million investment round was led by 3Capital Ventures, with participation from Endeavor, SAAD Investment Holdings, and UW Ventures.

This funding will help Pargo broaden its services and expand its logistical network, especially in Egypt, where it has already rolled out its Collect and Return service through partnerships with popular outlets like Fawry, Circle-K, and Basata.

The Middle Eastern e-commerce platform Noon is among the first prominent brands to adopt Pargo’s logistics services in Egypt.

CEO Lars Veul expressed enthusiasm about the company’s new foray into Egypt, highlighting the nation’s rapidly growing e-commerce market.

“Our goal is to offer affordable delivery solutions to tap into Africa’s vast e-commerce potential, reaching the 500 million online shoppers who currently face service limitations,” Veul said.

“This expansion marks a pivotal step in developing the largest smart logistics network in the region.”

After a successful 2023 pilot with 150 initial points in Egypt, Pargo introduced a Cash on Collection option, catering to the nation’s cash-preferred consumer base.

The trial received favorable adoption rates, validating demand for the company’s unique logistics services.

Pargo aims to establish 7,000 pickup points across Africa by 2026, solidifying its presence in Egypt and fostering partnerships with key local and regional players.

Abdelmalek Shamsi, Pargo’s managing director in Egypt, stated:

“By bringing our Collect and Return solution to Egyptian consumers, we’re committed to elevating the shopping experience. With partners like Noon and a robust interest pipeline, we are poised to harness Egypt’s immense market potential.”