Sendy

Logistics platform.

🇰🇪 Kenya Logistics & Supply ChainShut down

Epitaph

“Here lies Sendy. It dispatched riders on motorbikes, vans, and tuk-tuks to move goods across Kenya, then pivoted to stocking retailers direct from makers. It chased a hundred-million-dollar round, but a key investor stepped off the truck and payroll never got delivered.”

Overview

Born: 2015 (Year)
Died: August 2023 (Month)
Lifespan: 9 years
Fate: Shut down
Headquarters: 🇰🇪 Kenya
Category: Logistics & Supply Chain
Stage at death: Series B
Primary cause: Funding or runway
Contributing causes: Business model or unit economics, External shock

Death certificate

Timeline

2015Sendy founded
Launches a logistics platform in Kenya using riders on motorcycles, vans and autorickshaws
July 2022First layoffs
Sendy cuts 10% of its workforce amid the funding downturn
October 2022Second layoffs
54 employees laid off and the supply/distribution product line discontinued
February 2023Nigeria exit
Sendy exits its Nigerian fulfillment operations
June 2023Runs out of funds
A key investor withdraws from a reduced-valuation funding round
August 2023Shutdown
Sendy shuts down and enters administration, exploring a sale of assets.

Autopsy report

Why did Sendy shut down?

Kenyan logistics startup Sendy, which had raised $26.5M, shut down in August 2023 after running out of funds and failing to close a hoped-for $100M round; a key investor pulled out of a reduced-valuation round, leaving Sendy unable to cover payroll before it began selling off assets.

What Sendy attempted

Build a logistics/delivery platform connecting registered riders on motorcycles, vans and autorickshaws for on-demand and last-mile delivery, later pivoting into B2B distribution to help retailers source FMCG goods directly from manufacturers.

What worked

Raised $26.5M total from investors including Toyota Tsusho, Atlantica Ventures and VestedWorld, and scaled to over 200 employees with multi-country logistics operations.

Early warning signs

A 10% workforce cut in July 2022; 54 employees laid off and its supply/distribution service discontinued in October 2022; an exit from Nigerian fulfillment operations in February 2023; and an investor pulling out of a down-round (valuation cut from $80M to $40–60M).

What happened

Facing the post-2022 downturn in African VC funding, Sendy made a series of cost-cutting moves — layoffs, discontinuing its supply/distribution line, and exiting Nigeria — while seeking a $100M round; a key investor withdrew from a reduced-valuation round, the company ran out of funds by June 2023, and by August 2023 it had shut down operations and entered administration and asset-sale/acquisition talks, affecting over 200 employees.

Lessons for future builders

Serial pivots and multi-country scale burn cash faster than a downturn will refill it. Reach sustainable unit economics on one model and market before expanding, and don't build a plan that only survives if the next mega-round closes.