Rinchi
TechInAfrica – Egyptian startup specializing in transport technology, Swvl is planning to expand its operations in Lagos, Nigeria, supposedly before the end of 2019. This expansion plan was stated by Swvl’s CEO to Reuters as cited from Yahoo.com. Furthermore, within the next two weeks, the startup will expand to two cities in Pakistan and to Manila Filipina next year.
Speaking of its expansion plan to Nigeria, Swvl’s Co-Founder and CEO, Mostafa Kandil said: We will enter Lagos before the end of the year, and our eyes are on Dar es Salaam and Abidjan.”
According to Kandil, the startup will raise more than $100 million of a funding round in the first half of 2020 while at the same time targeting a $1 billion valuation in the next five years. Since its inception in April two year ago, Swvl has raised the biggest round of funding round in Egypt in the category of a tech startup.
“We were a company worth about $2 million two years ago and our paid-up capital is now $80 million,” said Kandil.
Despite the achievement in raising funding, Kandil said that the company has been losing money. However, it is expecting to make a profit in two or three years. He explained that the loss was due to Swvl’s expansion to seven new cities. In additions, it’s targeting to expand to 10 to 20 new big cities.
Swvl is an Egyptian startup based in Cairo. However, it will move its headquarters to Dubai in November this year. The startup has been ambitious to expand its operation to new markets, including in Africa, the Middle East, and Southeast Asia.
The co-founders of Swvl own more than 30% of the company while the rest is owned by 17 investment funds, including Autotech Ventures (USA), Vostok New Ventures (Sweden), Sovereign Wealth Fund (Oman), BECO Capital (UAE), and MSA Capital (China).
Source: yahoo.com
