A Nairobi-based startup, Leta, is on a mission to revolutionize transportation. Leveraging AI-powered technology, Leta helps businesses reduce transportation costs while boosting efficiency across supply chains
Transporting goods across Africa remains a costly affair, often driving up prices for essentials like food and medicine. According to the African Development Bank (AfDB), logistics accounts for up to 75% of product costs on the continent — a staggering figure compared to global averages. Compounding the issue, many businesses still rely on outdated, manual logistics processes, leading to costly delays.
Leta Raises $5 Million Seed Round to Scale AI-Powered Logistics Solution
In a significant move for African logistics, Leta secured $5 million in seed funding to expand its AI-driven platform. The funding round was led by Speedinvest, a European venture capital firm, with participation from Google’s Africa Investment Fund and Equator, an Africa-focused climate tech fund.
This latest investment will fuel Leta’s expansion as it helps businesses optimize delivery routes, track shipments in real-time, automate payment processes, and gain actionable shipping insights.
Back in 2022, Leta raised a $3 million pre-seed round from local investors, enabling it to strengthen operations in five key markets: Kenya, Nigeria, Uganda, Zambia, and Zimbabwe.
At the heart of Leta’s solution is its AI-powered load and route optimization technology, which helps businesses reduce the number of vehicles required for deliveries. This not only saves money but also improves delivery efficiency.
According to Founder and CEO Nick Joshi, Leta integrates seamlessly with a company’s ERP, POS, and OMS systems, pulling live order data — from SKUs and product types to prices and customer details. The system then selects the ideal vehicle for each delivery and determines whether to use First-In-First-Out (FIFO) or Last-In-First-Out (LIFO) loading methods, replacing manual guesswork with data-driven decisions.
Once the loading method is determined, Leta automates manifest creation and dispatch planning. Its AI optimizes truck usage based on regional demand and vehicle capacity, while continuously updating delivery routes in real time.
“For instance, if a certain route becomes problematic — maybe due to flooding, police checks, or roadworks — our system flags it and updates the map accordingly,” Joshi explains. “This ensures smooth and timely deliveries.”
Leta’s real-time mapping capabilities have become a standout feature, particularly catching the attention of Google. Unlike Google Maps, which sometimes relies on outdated data, Leta’s platform refines road and address information in real time using live delivery data.
“We’re building a more robust and dynamic mapping system,” Joshi says. “That’s what intrigued Google — our ability to update mapping layers continuously.”
This strength in data collection opens doors for future expansion into embedded finance products, such as fuel cards for drivers, asset financing, and supply chain financing — features that Joshi believes will strengthen Africa’s fragmented supply chain.
Leta’s platform also supports sustainability goals by helping businesses shrink their fleets without sacrificing delivery volumes. This reduces fuel consumption and emissions — a key reason behind climate-tech investor Equator’s backing.
“A fleet of 70 trucks could save about $30,000 monthly with Leta’s optimization,” Joshi reveals. “Tracking carbon emissions is our next target for this year.”
Trusted by Major Brands and Expanding Rapidly Across Africa and the Middle East
Leta’s client roster already includes major global brands like KFC and Diageo, alongside regional giants like EABL and Gilani. The platform currently powers over 10,000 daily delivery trips across its core markets.
Since 2022, Leta’s growth has skyrocketed:
- Deliveries jumped from 500,000 to 4.5 million
- Cargo volumes rose from 20,000 tons to 150,000 tons
- Managed vehicles grew from 2,000 to 7,400
With a 5x revenue increase under its belt, Leta plans to double its revenue in the coming months by expanding further into new African and Middle Eastern markets.
A SaaS-First Model Sets Leta Apart from Asset-Heavy Competitors
Unlike traditional African logistics startups like Sendy, Lori, and KOBO360, which operated asset-heavy models, Leta takes a software-first approach. Instead of aggregating or owning fleets, it partners with businesses that already own vehicles, helping them maximize efficiency through AI-powered tools.
This lean, scalable model mirrors global logistics platforms like Bringg, Onfleet, and Shipsy — positioning Leta as a game-changer in Africa’s logistics space.
“The earlier generation of logistics startups paved the way by educating the market,” says Joshi. “We’ve built on their experience, entering the market with a clear understanding of what businesses truly need.”
