Introduction
Tracey Turner, the co-founder of Copia Global, a prominent B2B eCommerce platform in Kenya, is reportedly gearing up to launch a new venture just two months after Copia Global entered administration. The new startup, which is already registered in Kenya, aims to focus on delivering household items in Nairobi and its surrounding suburbs.
Focus on Household Deliveries
Turner's new company will continue to leverage the eCommerce model, targeting the delivery of household items within Nairobi and nearby areas. This strategic focus seeks to tap into the growing demand for convenient and reliable home delivery services in the East African nation.
Securing Financial Backing
Reports suggest that Turner is actively engaging with potential investors to support her new venture. Three investors have already committed to backing the startup, indicating strong confidence in Turner's vision and the new company's potential.
Continuing the Business Relationship
Tracey Turner and Tim Steel, former CEO of Copia Global, are said to be collaborating on this new business venture. While it remains unclear in what capacity Steel will join the startup, their continued partnership signals a robust leadership foundation for the new company.
Series B and Series C Rounds
Copia Global, founded by Turner and Steel, has had a notable history of funding rounds. In November 2019, the company raised $26 million in a Series B round led by LGT Lightstone, with participation from Perivoli Innovations, Endeavor Catalyst, ELEA, and Goodwell Investments. This was followed by a $50 million Series C funding round in January 2022, aimed at expanding operations throughout East Africa.
Series C Extension and Visa Partnership
In December 2023, Copia Global announced an additional $20 million Series C extension round, coinciding with its partnership with payments giant Visa. These substantial investments underscored the company's ambitions to scale its operations and enhance its market presence.
Layoffs and Financial Struggles
Despite significant investments, Copia Global faced considerable challenges. In May 2024, the company announced potential layoffs of over 1,000 employees due to "uncertainties." CEO Tim Steel noted that the company might have to cease operations if downsizing proved insufficient.
Entering Administration
By May 24, 2024, just a week after the layoff announcement, Copia Global entered administration due to difficulties in meeting payroll obligations. Administrators Makenzi Muthusi and Julius Ngonga of KPMG were appointed to manage the process, which included laying off the remaining staff and attempting to raise new funding.
Closure and Asset Liquidation
Efforts to revive Copia Global were ultimately unsuccessful, leading to the decision to cease operations and liquidate assets. The company's delivery trucks, warehouses, and office equipment were sold to pay employees and creditors.
Sector-Wide Impact
The challenges faced by Copia Global were not isolated. Other players in Kenya's eCommerce sector, such as iProcure, a B2B farm input platform, and Rejareja, another B2B eCommerce platform, also shut down operations in 2024, highlighting broader issues within the industry.
