Pargo, a Cape Town, South Africa-based high tech logistics and fulfillment company, secured over R15m in equity funding.
The round was led by Saad Investment Holdings with participation from Tsing Capital, and Pay-U co-founder Johan Dekker. In conjunction with the funding, Johan du Preez, CEO of SAAD Investment Holdings, will join Pargo’s board of directors.
The company intends to use the funds to expand sales and new marketing efforts, as well as to develop and widen its logistics and fulfillment services offering.
Founded in 2015 by Lars Veul and Derk Hoekert, Pargo has developed a proprietary and technology-based physical network, using existing retail stores, which allows customers to both send and receive parcels at dedicated pick-up points throughout the country.
In 2016, the company increased revenues 629% YoY, the client base by 463%, and the physical collection point network growing to over 1,000 unique pick-up points located across the country.
To date, Pargo has signed up more than 300 retail partners.