Stockholm-based delivery startup Budbee has raised 525 million Swedish crowns ($63 million) in an investment round led by AMF, one of Sweden’s leading pension companies, which also becomes one of the largest Budbee shareholders with its 240 million crown investment.
“Budbee will use the funding for international expansion, and to invest in technology and processes that will further enhance the sustainability aspects and customer experience of its services,” it said in a statement.
While most delivery startups focus these days on food delivery Budbee, which currently operates in Sweden, the Netherlands, Denmark, and Finland, works with online stores, listing major brands such as ASOS, Zalando and H&M among its clients.
“When I founded Budbee in 2015, my team and I quickly recognized the enormous potential of technology to transform e-commerce deliveries,” said Fredrik Hamilton, Budbee Founder and CEO.
Budbee was founded by Hamilton in 2015 on the back of his frustration of the inefficiency of last-mile delivery services. The company has grown rapidly and currently delivers over a million parcels per month.
“Budbee is a very interesting Swedish company with competitive smart solutions in an industry with high structural growth. Their sustainability ambitions, with the goal to make all transports fossil-free by 2022, contributes to the company’s attractiveness and future prospects,” Anders Oscarsson, Head of Equity, AMF, said in a statement.
In December 2020, the company increased the number of deliveries by over 200% compared to December 2019. The company expects to accelerate growth further in 2021 with the new funding round, mainly focusing on international expansion and product innovation.
“Budbee has shown tremendous growth over the last couple of years and the team has made important investments in order to meet the increased and growing demand for climate-smart deliveries, said Fredrik Konopik, Investment Director, Stena Sessan
The 2015-founded Budbee has more than 200 employees, and it offers personalised delivery services to more than 25 million people across Sweden, the Netherlands, Denmark, and Finland.
“Last-mile delivery is key to customer satisfaction in e-commerce, and Fredrik and his team have built Budbee into the go-to option for a frictionless last-mile delivery experience across its markets,” said Kinnevik CEO, Georgi Ganev.