Logistics startup Locad secures US$11m funding led by Temasek-backed VC fund

LOGISTICS startup Locad has secured US$11 million in Series A funding to expand its supply chain platform to build what it calls the “region’s largest fulfilment network” over the next five years. The Singapore-based company is also adding warehouses, partnering with transport operators, and hiring talent across Asia-Pacific to scale in South-east Asia and Australia. 

The round was led by Reefknot Investments, a 50:50 joint venture between Temasek and global logistics company Kuehne & Nagel.

The round also saw participation from returning investors Sequoia India and South-east Asia’s Surge, Febe Ventures, Antler, as well as new investors Access Ventures, JG Summit and WTI. 

Locad’s platform syncs inventory across sales channels such as Shopify, Lazada, Shopee and TikTok Shop, and enables brands to store, pack, ship and track their orders in a distributed, end-to-end supply chain as-a-service. 

To date, it has served over 200 brands across Singapore, the Philippines, Thailand, Hong Kong and Australia. These include fast-moving consumer goods giant Reckitt Benckiser, lifestyle and fashion company Terry SA which counts Havaianas in its portfolio, and mattress and furniture brand Emma Sleep, as seen on its website. Locad said on Monday (Jan 16) that it has shipped more than two million orders.

Locad’s chief executive officer and co-founder Constantin Robertz aims for the company to enable next-day delivery in Tier 1 to Tier 3 cities across the region over the next five years.

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Meanwhile, Reefknot Investments vice-president Ervin Lim said the company believes that Locad’s platform will spur greater participation in the digital economy as “consumers outside of Tier 1 cities can now receive their orders two to three times faster at a fraction of the usual cost”.