Pakistani fintech startup PostEx, known for providing financial and logistics services to online merchants, is gearing up to enter new markets, starting with Saudi Arabia later this year, following the successful completion of a $7.3 million pre-Series A funding round
The funding round was led by Conjunction Capital, a Dubai-headquartered venture capital firm focused on technology. Other participants included new investors Dash Ventures and Sanabil500, along with existing backers VSQ, FJ Labs, and Zayn VC.
The new funds will help PostEx solidify its market dominance in Pakistan and fuel its aggressive expansion into the GCC, providing new markets and customers with access to its services.
“We want to go into other markets to really disrupt them because we see the gap,” said Muhammad Omer Khan, the founder and CEO of PostEx.
PostEx plans to make entry into Saudi Arabia in next three months. The company plans to go beyond Saudi Arabia and enter into the United Arab Emirates markets over time.
The startup is reportedly seeking another $15 million round to double down in the Saudi Arabian market. PostEx has already started discussions with investors for the new funding round, Khan said.
The latest funding came after a highly successful 18 months for PostEx, during which the company met several financial and operational milestones. PostEx crossed an Annual Recurring Revenue of $21 million, achieved profitability, and is now processing over four million monthly transactions. The company has held market leadership in Pakistan for the past two years, despite having been operational for less than three years.
Kirill Kozhevnikov, Managing and Founding Partner at Conjunction Capital, said, “Our investment in PostEx underscores the strategic importance of the Saudi Arabian market as a key growth area within the GCC. PostEx’s innovative approach to integrating fintech with logistics positions them uniquely to address the evolving needs of e-commerce businesses in this region. We are committed to supporting their expansion and driving further advancements in the market.”
Founded in 2020, PostEx has quickly become a leading fintech and e-commerce logistics provider in Pakistan by offering upfront payments and a reliable delivery network to help online businesses scale and manage cash flow. Serving over 15,000 active stores with a 90% client retention rate, PostEx has processed more than $500 million in GMV in the past year and is positioned for further growth as Pakistan and the GCC region continue embracing digital commerce.