Yassir, an African super app platform that provides on-demand services including ride-hailing, food and grocery delivery, and payments, has raised $150 million in Series B investment, which is five times as much as it secured in its prior priced round last November.
BOND, the development-stage company that Mary Meeker separated from Kleiner Perkins in 2018, spearheaded the investment. DN Capital, Dorsal Capital, Quiet Capital, Stanford Alumni Ventures, and Y Combinator via its Continuity Fund are some of the other key investors in the expansion round.
Ever since its founding in 2017, the African firm, which debuted in Algeria, has now acquired $193.25 million. Yassir deems itself the most important startup in North Africa and one of the highest-valued businesses in Africa and the Middle East, where it expects to grow in the upcoming months, despite that its valuation is yet unknown.
To provide services that individuals in the French-speaking Maghreb region, which includes Algeria, Morocco, and Tunisia, have little or no access to on one platform, CEO Noureddine Tayebi founded Yassir.
In addition to providing ride-hailing and shopping and food delivery services (via Yassir Express) in 45 locations across six countries, the company, according to this analysis, accounts for three out of every five on-demand operations in Algeria, its first market.
Yassir has come closer to its overall goal of offering banking and payments thanks to this controlled growth. Tayebi says that one reason why the majority of Africans are unbanked for this venture is that Yassir gained consumers’ trust by offering on-demand services in the areas of food and transportation.
For context, consider that over 65% of Moroccans, one of Yassir’s key customers, do not have a bank account and that 57% of Africans do not have any kind of bank account, per a 2018 McKinsey research on expansion and innovation in retail banking.
The report also notes that 40% of Africans who have access to banking prefer to transact online. In light of the 50% of people in Africa have access to the internet,
Yassir’s thesis holds that offering customers a mobile banking solution as part of a larger suite of services will satisfy a crucial need in that market.
An all-in-one ecosystem software called Yassir offers its users a single point of management for all of their daily activities, from getting to work to ordering groceries and meals.
Its financial services support this multifaceted marketplace ecosystem, which has 100,000 partners, or drivers, couriers, retailers, suppliers, and wholesalers, in addition to 8 million users (more than 2.5 times the number from the previous year).
For its payments play built on top wallet provision and distribution of drivers and couriers as money agents, Yassir is utilizing this network, which also contains a B2B e-commerce retail element that connects fast-moving consumer goods (FMCG) suppliers with merchants.
What lies ahead for the YC-backed platform that includes elements from PayPal, DoorDash, Uber, and Udaan? Tayebi responded, “First, we aim to build a local tech company success model that will be imitated by others and especially Yassir team members.
The chief executive, who earned a Ph.D. at Stanford and spent 15 years working at numerous companies in Silicon Valley, added, “Second, we would like to empower the local talent and, more importantly, the technical talent that often leaves the region, primarily to Europe, to pursue further studies or find jobs.” He returned to Algeria in 2016 to get involved in the country’s developing tech scene.
As a result, the business plans to aggressively invest in its technical and product teams by tripling their size, at the very least, according to Tayebi, who started Yassir alongside Mahdi Yettou.
He also emphasized how the money will help Yassir, which has offices in Algeria, Canada, France, Morocco, and Tunisia, to consolidate its expansion, launch new services in the current markets, and directly or through acquisitions expand into other regions throughout Africa and the Middle East.
B2B platforms have the power to fundamentally alter how consumers and businesses interact. B2B companies have several options today to profit from their innovations. One of them makes use of these platforms for food and grocery delivery businesses or ride-hailing apps.
B2B platforms have been used by delivery services, major grocery chains, and transportation corporations to connect with their target audience.
Ride-hailing applications like Yassir have become more well-known thanks to B2B marketing activities. These platforms offer financial services in addition to ride-hailing and food delivery apps.
Yassir is one of five firms with an emphasis on Africa that have closed mega-rounds this year, or investment rounds larger than $100 million.
On the shortlist, which had ten businesses as of last year, the self-described most valuable North African startup joins Flutterwave, Wasoko, Instadeep, and Sun King.
This decreased number reflects ongoing worldwide macroeconomic issues that have caused businesses to lay off staff, lower valuations, or go out of business, and is a harsh illustration of how quickly markets can shift.
However, Tayebi asserts that Yassir was exempt from the tighter funding environment that startups have traditionally seen this year.
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