Figorr Secures $1.5 Million in Seed Funding to Revolutionize Perishable Goods Insurance
Gricd, a technology company that develops Internet of Things-powered solutions to support the last-mile delivery of perishable goods, has raised $1.5 million in a seed funding round led by Atlantica Ventures, with participation from Vested World, Jaza Rift, and Katapult, to expand across Africa and deliver new solutions that will make it easier to insure perishable goods on the continent. The company has also rebranded as ‘Figorr,’ indicating its new focus on software solutions.
Figorr creates IoT-powered solutions to supplement existing infrastructure and assets in order to reduce or eliminate losses associated with the transportation and storage of temperature sensitive and perishable goods in Africa. The company’s solutions provide real-time data on location, humidity, temperature, and other key data points, allowing businesses and other stakeholders in agriculture, healthcare, logistics, and other sectors across Africa to maximize the value of perishable and temperature sensitive goods such as vaccines, insulin, and food.
Every year, food worth more than $4 billion is lost in Sub-Saharan Africa due to insufficient storage and transportation. At the same time, the World Health Organization estimates that more than half of all vaccines are wasted globally each year due to temperature control, logistics, and shipment-related issues.
This percentage is likely to be higher in Africa, where approximately 60% of the population lives in rural areas with limited infrastructure. At the same time, the lack of standardised storage and transportation processes, as well as a lack of data and clarity on supply chain processes, makes it difficult for insurers to develop effective products to cover the risks associated with this product category. As a result, businesses and other stakeholders must bear all risks, which means the cost is passed on to the end customer, resulting in comparatively higher prices than in other parts of the world.
Figorr already collaborates with some of the leading pharmaceutical manufacturers and food companies in Nigeria and across Africa to ensure the safe transportation and storage of food and pharmaceuticals. It has successfully tracked over 110 million perishable items and helped its customers save over $200 million.
Over the years, the company has developed a framework for understanding the risks associated with the transportation and storage of perishable and temperature sensitive goods in Africa. The new funding will go toward the development of a proprietary risk management platform that will provide data that will make it easier to insure perishable and temperature sensitive goods on the continent.
According to Oghenetega Iortim, CEO and founder of Figorr, “This funding comes at a great time for us, as it enables us to leverage the data we have gathered over the years to provide further support for our customers with managing the risks associated with perishable goods on the continent. At a time where the price of everything seems to be rising and the global economy is experiencing significant challenges, unnecessary wastage should not be compounding these issues. We are excited to onboard more customers across the continent and roll out our solutions to enable more Africans to maximise the value of their goods and maintain profitability”.
Aniko Szigetvari, Founding Partner at Atlantica Ventures said, “Tega and the Figorr team have built a powerful suite of products and services to support the cold chain industry and ensure quality of perishable goods and pharmaceutical products in Nigeria and across the continent. We are excited to support the growth and regional expansion of the company”.