Imperial, an African and European-focused provider of integrated market access and logistics solutions, announced an investment in and partnership with Lori Systems to expand its cutting-edge e-logistics technology solutions across Africa. This strategic partnership is the first of its kind at this scale and scope on the African continent.
Lori Systems is the leading e-logistics platform in Africa and seamlessly coordinates haulage in frontier markets. The Imperial Venture Fund, managed by Newtown Partners - a US venture capital firm - recently concluded an investment in Lori Systems to support its growth in East and West Africa. The Imperial and Lori Systems partnership in the Southern African Development Community (SADC) region will help develop and enhance Africa's road freight industry through digital innovation and enablement.
“We believe that Lori solves a real problem when it comes to matching volatile demand and reliable supply in Africa’s highly fragmented road freight industry. As a business that is focused on efficient and innovative logistics and market access solutions, this is a crucial business investment for Imperial and the continent. Investing in Lori Systems will enable the creation of further business opportunities in Africa and provide efficiency for Imperial’s clients and transport operators with whom we collaborate,” noted Mohammed Akoojee, Group CEO, Imperial.
Lori Systems launched in 2017, with the vision to develop technology that provides practical solutions to the challenges frontier markets face with logistics, namely the lack of visibility, coordination, and data. Imperial will have access to Lori’s proprietary platform through this partnership, providing shippers and transporters in Southern Africa with access to a flexible suite of software applications and data. This will lead to more efficiently managed operations and fleets, resulting in tangible cost savings.
“Lori Systems partnership with Imperial is validation of our vision of a new era of digitally-enabled and efficient logistics not only in Africa but in frontier markets more broadly," said Joshua Sandler, Co-Founder and CEO, Lori Systems. “As a leading African logistics and market access player, innovation is at the heart of Imperial, and we couldn’t be more proud to partner with an industry veteran that embraces this digital disruption while expanding Lori’s reach across Southern Africa.”
Lori Systems has successfully driven efficiency across fragmented East and West African markets by providing end-to-end visibility for customers and integrations across the entire supply chain. This partnership brings together Lori’s technology and Imperial’s expertise in logistics to drive similar efficiencies in Southern African markets.
“We believe digital freight exchanges are a compelling business model in emerging markets that complement Imperial's traditional strength in contracted road freight," said Llew Claasen, Managing Partner, Newtown Partners. “We have considered many road freight investment opportunities on the African continent and believe that the Lori Systems team, product and the opportunity that presents itself through the Imperial partnership will create a lot of value.”
Beyond the African continent, Lori has drawn increased interest from frontier markets experiencing similar challenges, where Lori’s technology can provide digital solutions and add value. The COVID-19 pandemic has further highlighted the critical need to ensure efficiency in logistics and transportation and digital solutions.
Imperial is an African and European focused provider of integrated market access and logistics solutions. With a focus on five key industries - healthcare, consumer, automotive, chemicals and industrial - we take our clients’ products to some of the fastest growing and most challenging markets in the world. Ranked among the top 30 global logistics providers and listed on the JSE in South Africa, we seek out and leverage new technology to deliver innovative, end-to-end solutions. Through our significant African footprint and international expertise, and with the support of our 25 000 people, Imperial’s purpose is to connect Africa and the world - and to improve people’s lives with access to quality products and services. See more at www.imperiallogistics.com
About Lori Systems
Lori is a tech-driven logistics services company that seamlessly coordinates haulage across frontier markets. Lori's mission is to drive down the costs of goods. In Africa, $180 billion is spent annually on haulage and logistics account for as much as 75% of a product's price, compared to 6% in the US. Lori's tech and operations-driven marketplace efficiently connects transport to shippers and has moved billions of dollars worth of cargo on the platform to date. In only three short years, Lori has significantly improved logistics transparency, flexibility, reliability and costs. Lori currently operates in Nigeria, Kenya, Uganda, South Sudan, Togo, Rwanda, the Democratic Republic of Congo, Ghana, Tanzania, Zambia with plans to expand to frontier markets across the African continent and beyond. Learn more at www.lorisystems.com
About the Imperial Venture Fund
Major international logistics industry player, Imperial, partnered with US venture capital firm Newtown Partners to launch a corporate venture capital (CVC) fund with an initial capital commitment of $20m. The fund identifies, invests in, and develops emerging technology and disruptive business model startups in supply chain management, logistics, and healthcare. Learn more at www.newtownpartners.com/