On Tuesday, March 18, 2025, Nairobi-based logistics startup Leta secured $5 million in seed funding to enhance its AI-powered platform aimed at transforming the transportation of goods across Africa.
This funding round was led by European venture capital firm Speedinvest, with additional backing from Google’s Africa Investment Fund and Equator, an Africa-focused climate tech fund.
The investment highlights the growing interest in using artificial intelligence to tackle inefficiencies and reduce costs within Africa’s complex logistics landscape.
Founded in 2021 by Ibrahim Donga, Leta is addressing a key challenge in Africa: high logistics costs and inefficiencies, particularly in last-mile delivery. The company’s platform integrates with enterprise resource planning (ERP), point of sale (POS), and order management systems (OMS) to access real-time data, including product types, prices, stock levels, and customer details. This eliminates the need for manual dispatching, reducing human error and boosting operational efficiency.
Leta’s AI system optimizes deliveries by automatically assigning the best vehicle for each order, determining the most efficient loading method (FIFO or LIFO), and dynamically adjusting delivery routes based on traffic and other disruptions. The platform also automates dispatch planning and manifest creation, streamlining processes for businesses in retail, manufacturing, and distribution.
Since raising pre-seed funding in 2022, Leta has experienced significant growth. It has increased the number of deliveries handled from 500,000 to 4.5 million, expanded the volume of goods moved from 20,000 tons to 150,000 tons, and scaled its fleet from 2,000 to 7,400 vehicles.
Currently, Leta serves over 35 major businesses, including global brands like KFC and Diageo, optimizing more than 10,000 daily trips across Kenya, Tanzania, Uganda, Rwanda, and Zambia.
With this new funding, Leta plans to expand its operations into more African countries and the Middle East, positioning itself as a leader in AI-driven logistics. As e-commerce and retail continue to grow across the continent, innovations like Leta’s will play a crucial role in reducing costs, improving delivery efficiency, and enabling faster shipping for businesses and consumers.
