In order to support its growth across the MENAP area, Egypt’s MaxAB, a B2B e-commerce and distribution platform for food and grocery products that serves a network of conventional merchants in Egypt and Morocco, has raised a US $40 million pre-Series B equity round.
MaxAB is a B2B e-commerce platform that links food and grocery stores with suppliers in Egypt’s least-served regions. It was established in 2018 by Egyptian and Libyan businessmen Belal El-Megharbel and Mohamed Ben Halim.
By utilizing powerful technology and creative supply chains, the organization assists a network of conventional shops throughout Egypt in getting the proper quantity of food and consumables to the right location at the right time. So far, it has fulfilled 2.5 million orders for over 150,000 different conventional shops.
After purchasing Moroccan rival WaystoCap with US $55 million in Series A fundraising last year, MaxAB has since received US $40 million in pre-Series B funding. The money is provided by a number of fresh investors, including Silver Lake, British International Investment (BII), and ADQ’s venture platform DisruptAD. Existing investors Beco Capital, 4DX Ventures, Flourish Ventures, and Africa Platform Capital are also participating in the round.
With presence in all major Egyptian cities and Casablanca, MaxAB has established itself as the market leader in its sector. MaxAB currently has additional ambitions for regional growth, with the goal of covering all of Morocco by the end of 2023 and entering Saudi Arabia.
Additionally, MaxAB will use the additional funding to strengthen its technology and product teams, finance additional e-commerce company expansion, and ramp up its FinTech division by providing more embedded financial solutions.
“Within just four years of operations, we have been able to re-engineer the informal food and grocery market in Egypt and Morocco. We are thrilled to have gained the recognition and financial backing of world-class investors, adding to the reception and support we receive from the retailers and suppliers we serve,” El-Megharbel said.
“Going by the quality of investors who are partnering with us, we are excited about venturing into the next stage of the MaxAB journey, which is further consolidation of the informal grocery sector, heavy focus, and investments in Fintech and replicating our success in new markets to grow beyond borders.”
MaxAB is developing technology-driven goods and services to address problems with more integrated, effective, and dependable food supply chains for the MENAP area, according to Amer Al Ameri, head of venture capital and technology investments at ADQ.
“In digitising the vastly traditional, multi-layered, and fragmented food and grocery sector supply chain, they have broken the mould and presented a domino effect of opportunities, one of which is the launch of the fintech vertical. We are happy to be embarking on this journey with MaxAB and are looking forward to providing strategic guidance for continued growth and impact,” he said.