Twiga will use the funds to set up a distribution center in Nairobi and deepen its conversion to offering supply chain services for both agricultural and FMCG products.
Twiga’s financing comes 11 months after a $10 million raise and announcement it would create additional revenue streams by moving into B2B supply chain for FMCG and other consumer products.
Co-founded in Nairobi in 2014 by Njonjo and Grant Brooke, Twiga Foods serves around 3,000 outlets a day with produce through a network of 17,000 farmers and 8,000 vendors.
“[If you] get farmers now producing at large scale and supplying into you, and manufacturers that don’t need to invest in distribution systems, it has huge benefit,” said Njonjo.
“If we can build a business around fresh fruit and vegetables…It’s now much easier to lay things over that would have been very expensive to get to end retailers,” Twiga co-founder Grant Brooke said.
That leaves some room for conjecture that Twiga Foods could pivot toward supplying or entering online retail in Africa.