Lahore, Pakistan — News Direct — PostEx
The e-commerce sector in Pakistan is set to reach $12 billion by 2025 in terms of adoption and growth. To fuel this growth, PostEx, Pakistan’s fintech leader, is announcing today that it has completed the acquisition of Call Courier, a logistics services provider; to expand its logistics offering making it the largest e-commerce service provider in the country. This transaction combines PostEx’s upfront payments, revenue-based financing and technology with Call Courier’s nationwide logistics infrastructure.
Following the transaction, PostEx will now serve 1.3 million users with over 8,000 merchants in 500 cities in Pakistan, on track to become the largest fintech in Pakistan with a monthly loan book exceeding $12 million .
PostEx becomes the first company in the region to offer a receivables factoring and logistics service that pays invoice values in advance for e-commerce companies; helping e-commerce sellers and SMEs to thrive, grow and take full advantage of every opportunity that comes their way. PostEx, backed by key investors that include Zayn, MSA, GFC, RTP, FJ Labs, Shorooq, VSQ, and others has raised $8.6 seed round – one of the largest for a Pakistani startup.
Call Courier will be a wholly owned subsidiary under the group name. PostEx welcomes Jawad Mirza, founder and CEO of Call Courier to its Board of Directors, who will continue to play an integral role in the business as he leads the logistics business.
Omer Khan, founder and CEO of PostEx commented: “Banks simply do not lend enough to businesses leaving so many struggling to maintain their working capital in the face of insufficient cash flows. Cash on delivery, while a problem for such businesses, is a reality of the Pakistani ecosystem and is not going away anytime soon.
The concept behind PostEx was to facilitate all players in the e-commerce sector struggling to operate and expand in light of constraints around access to capital and logistics inefficiencies. The acquisition of Call Courier enables us to increase our reach and benefit from the great business and team that Jawad Mirza has managed to grow over the years.”
Call Courier’s strong presence in Pakistan complements PostEx’s nationwide vision and footprint. This strategic decision brings PostEx’s total presence to over 500 cities; serving up to 1.3 million people every month across Pakistan, as the transaction enables both companies to leverage each other’s technological and operational expertise.
Jawad Mirza, founder and CEO of Call Courier commented: “Having more than 2 decades of experience in the logistics and last mile delivery industry has given us an understanding of not only bulk mail, but also e-commerce, cash on delivery and the needs of the sector. With this acquisition, it is time for us to enter new horizons, accept new challenges and continue to grow. Connecting the network of call couriers along with PostEx’s fintech capabilities will enable us to provide quality deliveries across Pakistan along with financial support for the sector. It gives me immense pleasure to serve existing and new clients and provide a one-stop solution to their needs.”
Over 90% of e-commerce transactions are done in cash, representing almost $6.5 billion. Most consumers who shop online in Pakistan pay using the cash-on-delivery method, and payment cycles for such orders vary from one week to one month, which creates cash flow problems for online retailers. PostEx is solving these challenges with its fintech and logistics platform. In addition to cash on delivery, PostEx also offers Income Based Financing to provide easy access to capital making it the first and last source of non-dilutive financing for e-commerce.
Senator Dr. Afnan Ullah Khan, Member of Prime Ministers IT Task Force COMMITTEE commented: “Consolidation and growth together is important at this time for our nascent ecosystem. This acquisition demonstrates the importance of close collaboration between fintech and logistics, highlighting the importance of access to capital. This acquisition makes PostEx the largest provider of e-commerce services in the market. showing the potential of incumbent challenger startups. It’s refreshing to see new solutions to old problems.”
AUC Law, Salahuddin, Saif & Aslam Co. and MHBWHB Law Associates were the legal advisors on the transaction.
Founded in 2020, PostEx is a hybrid of receivables factoring solution and courier service that pays invoice values in advance for e-commerce companies that offer cash on delivery as one of their payment methods. PostEx is also offering free delivery service to its customers. For more information please visit https://www.postex.pk/
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See source version on newsdirect.com: https://newsdirect.com/news/postex-pakistans-leading-fintech-acquires-call-courier-becoming-the-largest-e-commerce-service-provider-999794804