The Jakarta Post
Online freight marketplace Kargo has secured US$31 million in Series A funding to expand operations, while also pledging salary cuts, including those of the company's bosses, to finance a coronavirus relief fund.
Kargo said on Monday the funding round was led by Silicon Valley-based financier Tenaya Capital with participation from, among other investors, soft drink manufacturer Coca Cola Amatil and the Indonesia-oriented Intudo Ventures. Kargo is a platform for more than 50,000 truckers and 6,000 shippers to connect with their customers via an app,
The start-up also pledged to raise $1 million to protect Kargo-listed truck drivers and to deliver food and medical aid for hospitals. Funds would come from slashing employee salaries, including 75 percent of the leadership’s salaries and 100 percent of the CEO’s.
“We have mobilized to answer this call to arms and do whatever is in our power to fight COVID-19 here in Indonesia,” said Kargo CEO Tiger Fang in a statement.
Kargo is among many logistic start-ups, such as Waresix and Ritase, competing to capture Southeast Asia’s largest but most challenging market. Indonesia comprises more than 17,000 widespread islands and its digital economy accounts for half that of the region.
Kargo last secured a $7.6 million seed round backed by, among others, Uber cofounder Travis Kalanick’s 10100 Fund.