Introducing Uzbekistan’s First Unicorn: E-commerce Startup Uzum
Uzum, an e-commerce startup pioneering online shopping, fintech, and food deliveries in Uzbekistan, has secured a remarkable $114 million in funding, marking the country’s first unicorn with a valuation soaring to $1.16 billion.
Uzbekistan presents a fertile landscape for startups, with a burgeoning population where individuals under 30 make up approximately 60%. The nation boasts impressive statistics, including a near-universal literacy rate, over 76% internet penetration, and more than 75% smartphone adoption. Despite these promising indicators, the e-commerce sector remains surprisingly underdeveloped, comprising only 2.2% of Uzbekistan’s total retail market as of December 2022.
Recognizing the untapped potential, Uzum’s co-founder and CEO, Djasur Djumaev, identified an opportunity to revolutionize the market. Leveraging the success of platforms like Amazon, Uzum was established to provide a comprehensive marketplace solution, offering end-to-end logistics and delivery services. Since its launch in October 2022, Uzum has rapidly gained traction, boasting over 8 million monthly active users and collaborating with over 9,000 merchants offering an extensive range of products.
Expanding beyond e-commerce, Uzum has ventured into the fintech arena, introducing innovative buy-now-pay-later (BNPL) solutions, which now constitute a significant portion of its transactions. Additionally, the startup has ventured into the food delivery sector and established a digital bank to diversify its offerings and fuel further growth.
The recent Series A funding round, totaling $114 million, was led by FinSight Ventures, with participation from Xanara Investment Management and Uzum’s senior management. This round, comprising $52 million in equity and $62 million in debt, marks Uzum’s inaugural external funding and sets the stage for its ambitious plans to raise $200 million in a forthcoming Series B round from investors across the Middle East, U.K., and the U.S.
