MDI Ventures joins $23m round of Indonesian logistics firm

Paxel, an Indonesia-based logistics startup, has raised US$23 million in series C funding from Astra Digital International, Central Capital Ventura, and MDI Ventures.

The investors are subsidiaries and venture arms of local conglomerate Astra Internasional, top private bank BCA, and state-owned telco firm Telkom, respectively.

Photo credit: Paxel

Founded in late 2017, Paxel provides logistics solutions such as same-day local and intercity deliveries, smart locker service PaxelBox, local snack platform PaxelMarket, bulk delivery offering PaxelBig, and waste treatment solution PaxelRecycle.

The company said it has delivered 17 million packages and served 2 million people so far. It has also partnered with more than 2,000 SMEs in the country.

In a statement, Paxel added that it has increased its revenue and number of users by around 3x every year for the past four years. In the third quarter of 2020, the company logged positive gross margins.

The startup plans to use the fresh funding to expand its coverage outside Java Island and increase its capability in cold chain. It added that having big companies with huge ecosystems such as Astra, BCA, and Telkom will also help the firm in developing solutions for SMEs.

Paxel was established by Zaldy Ilham Masita, former executive of local logistics firm JNE, and Bryant Christanto, former vice president of the local arm of Credit Suisse. Late last year, it raised US$9.4 million in a series B round led by MDI Ventures.

See also: As gas prices soar, SEA logistics players brace for impact

Other investors in this round include:

• SIG
• Endeavor Catalyst
• FJ Labs
• Amsaka Investama Sejahtera