Jugnu, a Lahore-based B2B marketplace startup offering seamless procurement for Kiryana stores, raised $22.5 million in Series A funding led by Sary, a B2B marketplace that focuses on the MENAP region, with participation from Sarmayacar, and Systems Limited.
“The strategic investment and alliance with Sary paves way for consolidation in the B2B space in MENAP, providing both companies with the ability to leverage diverse expertise and talent transfers across the region,”
~ Jugnu
Prior to this funding, Jugnu and its parent company Saleflo have raised $3.2 million from Systems Limited, a Lahore-based leading global technology, and business process outsourcing services provider. This latest funding takes the total funding raised to $25.7 million.
Jugnu was founded in 2019 by Sharoon Saleem, Yasir Memon, Syed Khurram Haider, and Ahsan Muhammad Khan with the goal of helping small and medium-sized enterprise (SME) owners realize their full earning potential by making business easy for them.
Over one million kiryana stores in Pakistan lack access to convenient inventory procurement and over two-thirds of retail stores don’t get serviced directly by any organized distribution channel. The startup aims to resolve these challenges by connecting retail stores and SMEs directly to manufacturers through its app.
“Our new alliance with Sary will be a great boost for Jugnu. We’ve established a foothold in our existing operating cities with a rapidly growing customer base, and Sary will help us accelerate the development of our platform to connect producers and businesses, thereby ensuring SMEs in Pakistan have access to the best, most competitively priced goods at a single tap.”
~ Sharoon Saleem, Co-Founder and CEO ofJugnu
Jugnu serves thousands of grocery store owners through its mobile app and fulfilment centres, offering next-day delivery for all their purchases. Jugnu claims that its product is being used by 30,000 Kiryana stores across Lahore, Rawalpindi, and Islamabad.
Jugnu plans to use the funding to expand its team, develop its technological platform, increase its product offerings, and expand its geographic reach.
“Jugnu has focused on developing strong capabilities and moats in key markets during the last 18 months, leveraging our product-market fit to grow rapidly during this period. This round of investment will enable us to expand our team, ramp up our technological platform, expand product offerings and extend our geographical footprint.”
~ Sharoon Saleem, Co-founder and CEO of Jugnu