BRI Ventures-linked fund invests in Indonesian logistics startup

Sembrani Nusantara Fund, a vehicle managed by BRI Ventures and licensed by Indonesia’s financial regulator OJK, said it has invested an undisclosed amount into digital freight forwarder Andalin‘s series A round.

The new funding comes on the heels of Andalin’s undisclosed seven-digit pre-series A round in October 2020.

Nicko Widjaja, chief executive officer of BRI Ventures / Photo credit: Nicko Widjaja

Founded in 2016, Andalin offers a digital cross-border shipping solution in Indonesia for microbusinesses as well as small and medium-sized enterprises. Its technology helps streamline import and export processes, from freight arrangements to customs clearance.

Andalin says it has facilitated shipments of goods worth US$20 million last year and was close to EBITDA (earnings before interest, tax, depreciation, amortization) positive by year-end. It also saw its shipment volume jump by roughly 500% in 2020, with its average revenue per client soaring 450% year-on-year, according to a statement.

The startup aims to raise another round of funding by the end of 2021 as it targets to take its gross merchandise value to US$100 million.

According to the World Trade Organization, global merchandise trade volumes are expected to bounce back up by 7.2% in 2021 from a contraction of 9.2% in 2020.

“With companies like Andalin strengthening the local import-export game, Indonesia will be able to start reducing its trade deficit,” said Nicko Widjaja, CEO of BRI Ventures.

“Even if you put Covid-19’s impact on global trade aside, very clear patterns still emerge in this market, such as the country’s overall ecommerce gross merchandise volume of US$130 billion in 2020,” he adds.