Mexico City-based 99minutos, a last-mile e-commerce delivery platform in Latin America, has raised $40 million in Series B funding. Prosus Ventures and Kaszek led the round.
MEXICO CITY – – 7 June, 2021 – – 99minutos, a last-mile e-commerce delivery platform in Latin America, announced today the closing of a US$40 million fundraising round led by Prosus Ventures and Kaszek. The new funding will help to strengthen the position of 99minutos in its current markets and to continue its expansion throughout Latin America. The round consisted of both primary and secondary investment.
Since its founding in 2014, 99minutos has focused on offering the fastest, most reliable, and lowest cost last-mile logistics services to e-commerce vendors in 40 major markets across Mexico, Chile, Colombia, and Peru. The company offers four distinct services: less than 99 minutes delivery, same-day delivery, next-day delivery, and CO2-free delivery, serving from the largest e-commerce players in LATAM to the smallest merchants starting to sell online.
E-commerce is growing quickly in Latin America, but it is still early days. E-commerce penetration in Latin America is at 6%, while China is reaching 30% and the U.S. is at 20%. Given the strong growth across the region, e-commerce logistics infrastructure must scale to offer quick and affordable delivery options to support rising demand for online shopping. Offerings from current providers have average delivery times ranging from 3-10 days, and often cost 10% of the goods being purchased, stifling e-commerce growth. The 99minutos platform is solving this gap by providing e-commerce players with multiple high-quality delivery options for their consumers, with speed and reliability at a low-cost.
“E-commerce is already a big business in Latin America, but to realize its full potential, there is a need for next-generation delivery platforms that match the demands of both e-commerce companies and their customers,” said Alexis Patjane, CEO of 99minutos. “We have worked hard to build the best delivery network in our key markets and are delighted to be partnering with investors with strong reputations like Prosus Ventures and Kaszek as we continue on our journey to becoming the leading logistics provider for online stores in the Spanish speaking countries of Latin America.”
“When you are building a business, it isn’t enough to just have a great idea – you have to have great execution,” said Banafsheh Fathieh, Head of Americas Investments at Prosus Ventures. “When we hear big e-commerce players saying that 99minutos is ‘their most reliable partner’ and that they are ‘the provider with the most potential,’ it tells us that the team is executing extremely well and is on a path to disrupt e-commerce delivery in Latin America. We are delighted to be leading this round to help launch the company into its next phase of hypergrowth.”
“It is a privilege to be a part of funding 99minutos,” said Mariana Donangelo, Partner at Kaszek. “We’ve been impressed with the technology the team has built and with the level of service they provide to clients, including off the charts on-time delivery numbers. The combination of a great technology platform and flexible delivery model has helped them scale rapidly, and we look forward to helping them deliver on their promise for e-commerce businesses as they continue to grow.”
Founded in Mexico City in 2014, 99minutos is a last-mile e-commerce delivery platform in Latin America. The company is transforming last-mile logistics by offering the lowest cost, fastest and most reliable delivery services for e-commerce vendors across Mexico, Colombia, Chile and Peru. Through its four distinct services: less than 99 minutes, same-day, next-day, and CO2-free delivery, 99minutos services major e-commerce companies and a longtail of retailers and smaller e-commerce brands.