Egypt-based Homzmart raises $15m amid expansion push
19 May, 2021
Homzmart, a good Cairo-based furniture and house goods marketplace, raised $15 million found in funding from Beijing’s expenditure organization MSA Capital and Nuwa Capital, a capital raising firm based in Dubai and Riyadh.
San Francisco-based investment strong Rise Capital, Riyadh-based asset manager Effect46, Dubai-based expenditure company EQ2 Ventures and London’s capital raising and private equity strong Outliers Ventures also participated on the round.
The investment can help Homzmart to expand in the Middle East and North Africa region and execute its “strategy of consolidating the complete value chain”, the start-up's leader and co-founder Mahmoud Ibrahim said.
“We've seized the chance to digitise searching for furniture and residence goods. The marketplace opportunity in the region is enormous and our business model is perfectly create for it."
Launched in the primary quarter of this past year, Homzmart connects dwelling goods and furniture makers/brands with the customers. Using artificial cleverness, it permits retailers - including the likes of Ikea and House Centre - to easily reach customers. It provides consumers a one-stop-shop buying experience with more flexible financing options.
The platform, which features over 55,000 products, is tapping the pandemic-fuelled e-commerce boom. Homzmart's revenue grew by more than 30 moments in the past one year as shoppers eschewed physical outlets and flocked to online browsing sites to order necessary goods amid movement restrictions.
The company, however, did not disclose the value of its sales or the amount of its customers.
Since its inception, Homzmart has brought up a total of $17.2m.
“The Covid-19 pandemic exposed the extreme vulnerabilities and inefficiencies of the Middle East’s archaic offline retail ecosystem, logistics and offer chain,” said Ben Harburg, general partner at MSA Capital that has over $1.5 billion under management.
“In to the void stepped Homzmart while another generation, digitally enabled online industry … addressing both client and enterprise consumers,” he added.
The e-commerce industry in the Mena region is booming due to the high rates of smartphone and internet penetration.
E-commerce sales are set to triple to $28.5bn found in 2022, from $8.3bn in 2017, according to analyze from Bain & Enterprise and Google.
Source: www.thenationalnews.com