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Uzum , an Es - Department of Commerce inauguration offering on-line shopping , fintech and food manner of speaking to jillion of customers in Uzbekistan , has kick upstairs $ 114 million in backing , becoming the country ’s first unicorn with a valuation of $ 1.16 billion .
Uzbekistan is productive ground for startups , render the fact that mass age below 30 constituteabout 60 % of its population of over 35 million . The commonwealth also enjoysa near 100 % literacy rate(according to its government),more than 76 % internet penetration , andover 75 % smartphone penetration charge per unit . In 2020 , the key Asiatic nation had almost 1,200 startups , 85 % of which were at the semen phase . Fintech startup dominated the food market with a 30 % share , surveil by e - commerce startups at 27 % , according toestimates(PDF ) by the Asian Development Bank .
However , the country seems to have a shameful lack of eastward - mercantilism services , which may be among the reason why the sphere accounted for only 2.2 % of Uzbekistan ’s total retail market as of December 2022 , per areport(PDF ) by KPMG . According to Uzum ’s co - founding father and CEO , Djasur Djumaev , Uzbeks used to primarily shop online through social metier apps such as Instagram , TikTok and Telegram . Customers connected with sellers in groups on social platform , who had restrict neckcloth - keep building block ( SKUs ) and no logistics to talk of .
“ It was a surprise for us to see that the incursion of smartphones was gamy and telecom base was in place , but there was no vitamin E - commerce , no proper fintech , ” Djumaev told TechCrunch .
Djumaev clear fancy the potentiality for a company to do in Uzbekistan what Amazon has done in a pile of other area : offer up a cohesive marketplace that promises closing - to - last logistics and delivery . Uzum started by setting up its logistics , a fleet , and plant cartridge points to offer next - sidereal day delivery . The market place was plunge in October 2022 , and today , it has more than 8 million monthly active users and over 9,000 merchant sell 600,000 + SKUs . In contrast , the biggest street bazaar in the state has about 70,000 SKUs on any feed day , grant to Nikolay Seleznev , master strategy and business sector growth officer at Uzum . In its first full year of operation , the startup recorded gross merchandise value ( GMV ) of $ 150 million and expect run - rate GMV to reach at least $ 300 million this year .
briefly after its success with the market , Uzum forayed into fintech with a buy now , pay later ( BNPL ) product . About 45 % to 50 % of its tocopherol - Department of Commerce transactions are done via the BNPL solution , Djumaev said . Uzum has also put down the solid food saving business and set up a digital money box to bolster its growth .
“ Because we appeal customers on e - commerce , we hold back them on high - transaction businesses like daily banking , which is 100 % digital . We monetise them on our lending or credit rating product , which are 100 % Sharia - compliant , which is also very appealing to at least 85 % of the population in Uzbekistan , ” Seleznev told TechCrunch .
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The Series A turn , comprising $ 52 million in fairness and the remain $ 62 million in debt , was precede by FinSight Ventures and saw participation from Xanara Investment Management and Uzum ’s senior management . Uzum has diluted less than 5 % to investors participating in the Series A round of drinks , which is the startup ’s first outside funding . The startup also plans to elevate about $ 200 million in a Series B round this year from investors in the Middle East , U.K. and the U.S.
Uzum plans to use two - thirds of the bracing funding for its fintech business and one - third for the atomic number 99 - commerce branch . There are program to set in motion new mathematical product for unsecured loaning to individual as well as small- and intermediate - sized enterprises and invest in its own IT and logistics infrastructure .
“ We want to expand the product , heighten the infrastructure of our einsteinium - commerce , and fund our fintech , ” Djumaev order .
Seleznev sound out the startup intends to expand its GMV by 150 % to 200 % , farm its credit portfolio at least two time , and increase the full requital volume circulated through its ecosystem .
By the end of this year , Uzum plans to combine all its business organisation into two ace apps : one for its consumer - focused offerings and another for its business organization - pore products . It also aims to set up the country ’s “ declamatory ” logistics building complex for Es - Department of Commerce in June , planned to cross 112,000 square meters initially , and expanded to over 500,000 straight beat in the next few years .
Djumaev said a few party globally run likewise to Uzum and call Latin America ’s Nubank and Kazakhstan ’s Kaspi.kz . However , he does n’t see any competition in Uzbekistan , as Uzum has the advantage of enjoying different margins across products and can make higher margins by combine its e - mercantilism and fintech services .
“ We witnessed the winner of Kaspi.kz in creating a super app in neighbour Kazakhstan , and we are confident that Uzum , which has the necessary natural endowment , imagination and merchandise , will repeat this achiever to become a national technical school drawing card in Uzbekistan , ” suppose Alexey Garyunov , managing collaborator of FinSight Ventures , in a prepared program line .
