Alibaba fund-backed startup wins $5m more from Temasek JV firm

Pickupp, a Hong Kong-based logistics startup, raised an additional US$5 million as part of its series A and A+ rounds from Reefknot Investments, a joint venture between Temasek Holdings and Kuehne + Nagel.

This takes the total investment in the series A and A+ rounds to US$20 million. In July, Pickupp raised US$15 million in the same rounds, which were led by PChome and Cornerstone Ventures.

Photo credit: Pickupp

Pickupp offers multi-tiered prices for customers depending on the frequency of their deliveries each month. It also operates online-to-offline services in Hong Kong, Taiwan, and Malaysia, with over 100,000 delivery agents in its covered markets.

The fresh funds will be used to support the company’s dispatch network and satellite warehouse expansions.

“The ecommerce and last-mile delivery landscape is growing at a fast pace in Singapore, with sales from year-end promotions and delivery orders expected to reach record highs in the coming months,” said Lee Chee Meng, co-chief operating officer at Pickupp Singapore.

Pickupp aims to expand its pool of walker delivery agents to beat peak traffic hours and cut carbon consumption. The company also plans to open 10 new satellite warehouses in Singapore in the next six months.

“Heavy road traffic and carbon emissions are major challenges for the logistics industry in today’s day and age, and the spike in ecommerce and delivery orders will worsen the conditions if left ignored,” added Lee.

Last November, Pickupp closed a series A round from investors including Vision Plus Capital, Alibaba Entrepreneurs Fund, Cyberport Macro Fund, SparkLabs Taipei, and Swire Properties’ New Ventures.