finance news

Jüsto raises $12 million to strengthen international footprints

Jüsto raises $12 million to strengthen international footprints
Jüsto raises $12 million to strengthen international footprints

The online delivery landscape has been experiencing exceptional changes driven by one major factor-COVID-19 pandemic. As the pandemic has restrained people to stay at home, online grocery sales have been recording tremendous growth since the past few months.

During these times, numerous start-ups in the world are raising funds to strengthen their footprints to leverage current opportunities. Recently, the Mexican online supermarket Jüsto raised USD 12 million to expand internationally. The company raised funding from existing investors including Mountain Nazca, Foundation Capital, FEMSA Ventures, with participation from S7V, SV Latam, and H20 Capital.

The announcement comes seven months after closing its seed round. The company raised USD 10 million in a seed round in November. The company till now raised USD 22 million in total funding over the past year. Since then the company has been growing by 70% month to month. Moreover, it has also recorded five times growth in orders since the coronavirus outbreak. However, e-grocer penetration in Latin America is below 1 percent.

Speaking on the funding round, Ricardo Weder, Jüsto’s Founder and CEO said in the interview that small penetration rates and requests from investors have prompted the company to expand seed round and accelerate mission to ‘disrupt Latin America grocery landscape’ and strengthen international footprint.

According to sources familiar with the knowledge of the matter, the company will utilize this funding to strengthen footprints into 10 Mexican cities before heading to Colombia, which Weder claims has similar growth and opportunities as Mexico. The company is also eying Brazil, Peru, Venezuela, Ecuador where each country will get its automated fulfillment centers.

As there is significant demand for Latin America and Mexico, the company would use this funding to invest heavily in technology and develop new systems to offer fresh food and reduce waste.

Source Credit - https://news.crunchbase.com/news/justo-receives-12m-pre-series-a-round-to-expand-internationally/

 

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Sunil Jha

Sunil Jha has been a part of the content industry for close to two years. Having previously worked as a voice over artist and sportswriter, he now focuses on writing articles for newsorigins.com, across a slew of topics, ranging from technology to trade and finance. With a business-oriented educational background, Sunil brings forth the expertise of deep-dive research and a strategic approach in his write ups.