South African e-commerce logistics company Pargo is set to grow its roots in Egypt. The plans have been supported by US $4 million raised in funding
South African e-commerce logistics company Pargo is set to grow its roots in Egypt. The plans have been supported by US $4 million raised in funding round led by 3Capital Ventures (previously part of Allan Gray), Endeavor, SAAD Investment Holdings and UW Ventures, which it will use to enhance its services and scale its network.
With this funding, Pargo launched its Collect and Return services at over 500 Pargo Points in Egypt, partnering with outlets like Fawry, Circle-K, and Basata stores. One of the first major companies utilizing Pargo’s services in Egypt is Noon, a leading Middle Eastern fashion and lifestyle platform.
Strategy
Pargo’s CEO, Lars Veul, emphasized the potential of the Egyptian market, citing its significance in their goal to serve the 500 million online shoppers across Africa. After a successful pilot in 2023, which introduced Cash on Collection (an option suited to Egypt’s cash-based economy), Pargo now aims to expand to 7,000 Pickup Points across the region by 2026.
Founded in 2015 by Lars Veul and Derk Hoekert in Cape Town, Pargo is known for its innovative logistics solutions that simplify e-commerce deliveries. It operates through a network of over 4,500 tech-enabled Pargo Points across Africa, connecting major companies like Amazon, Bash, and Jumia with over 10 million online shoppers.
Pargo’s growth in Egypt highlights its strategy to leverage local partnerships and bring its logistics solutions to a broader audience, positioning itself as a key player in Africa’s e-commerce logistics landscape.