Uber Exec-Owned Logistics Startup Raises $31M to Help Fight COVID-19
Jakarta-based logistics startup Kargo has nabbed in $31 million as a part of its Series A funding round. The round was participated by Tenaya Capital, Sequoia India, Mirae Asset Management, and Intudo Ventures. To date, Kargo has raised $38 million, which also includes funding from Uber founder and former chief executive Travis Kalanick.
Kargo was co-founded by veteran Uber Asia executive Tiger Fang. It is an Uber-like platform involved in trucking and logistics. Kargo collaborates with truck operators and 3PLs. Users of the platform can order trucks using a mobile app.
Fang commented that the fresh capital will be used to help Indonesian companies amid the COVID-19 pandemic. The firm has also created a $1 million relief fund to help truckers in Indonesia. Fang has committed not to draw any salary from Kargo over the next one year and the company’s employees have also donated to the fund. In an interview with TechCrunch, Fang stated that anyone across the world can join the campaign and donate to the fund.
In the interview, Fang stated, “Kargo pledges to be the most reliable logistics partner to ensure no disruptions to the supply chain of essential items in Indonesia. Our entire company is donating a portion of our salaries to this cause and we invite local businesses and organizations to get in touch so we can work this problem together.”
Apart from this, Kargo has also established partnerships with charitable trusts like Kita Bisa, PT Akar Indah Pratama, under which it is delivering food meals and medical essentials for patients and healthcare authorities at a number of hospitals.
Kargo ensuring safe operations
To ensure safety for users as well as truck drivers, Kargo has made sure that all pit-stops on truck routes are disinfected. Apart from this, it has also incorporated an electronic proof of delivery mechanism to cease physical contact between users of the platform and truck drivers.
As of today, Kargo has a 50,000 trucks network across Indonesia that caters to 6000 active shippers.