Logistics firm Scommerce raises $100 mln from Temasek

By Hung Le October 29, 2019 | 12:25 am PT

An executive prepares to take the stage during the annual Temasek Review in Singapore July 7, 2016. Photo by Reuters/Edgar Su.

Vietnamese logistics startup Scommerce on Monday confirmed securing an investment from Singapore's state sovereign fund Temasek, its largest financing to date.

Although the Ho Chi Minh City-headquartered Scommerce did not disclose the amount it had raised, the deal is said to be worth $100 million, DealStreetAsia reported last Friday.

The funds will go towards raising the capacity of facilities, tech staff and automated storage systems at Scommerce’s two logistics units, Giaohangnhanh (GHN) and AhaMove, facilitating their nationwide expansion, said Luong Duy Hoai, founder and CEO of GHN.

GHN had launched its first automated warehouse in Hanoi in August 2019, and is expected to bring a second online, with a capacity of processing 40,000 orders per hour, this November.

"Temasek’s participation allows us to assimilate many technological models and logistics services that have been successful in foreign markets," Hoai said.

Established in 2012, GHN is Scommerce’s last-mile delivery unit. It claims to transport goods to e-commerce partners such as Lazada, Shopee, Sendo, Tiki and more than 100,000 small and medium enterprises in Vietnam.

AhaMove, Scommerce’s on-demand delivery platform, was launched in 2015. Currently, the platform claims to be working with around 100,000 drivers operating in Hanoi and Ho Chi Minh City.

Scommerce was founded by Dinh Anh Huan, former co-founder of Mobile World, Vietnam’s largest electronics retailer. It is a minority-owned unit of Vietnamese retail group Seedcom, which also operates in Food & Beverages, farming and business automation management.