Nigerian Startup Pivo Shuts Down Operations After Raising $2m
By Aduragbemi Omiyale
A Nigerian startup, Pivo, which raised about $2 million in November 2022, is shutting down its operations, TechCabal is reporting.
The platform quoted the co-founder and chief executive of the firm, Ms Nkiru Amadi-Emina, as confirming the intention of the company to fold up.
However, no specific reason was given for the decision, though some organisations have been closing shops in Nigeria lately due to the harsh operating environment.
One of the biggest pharmaceutical firms in the country, GlaxoSmithKline (GSK), announced a few months ago that it would no longer operate its business from Nigeria, opting to engage a third-party organisation to sell its products in the country.
This same business model was later adopted by another player in the sector, Sanofi, causing the prices of drugs to hit the roof in Nigeria, in some cases, surging by over 1,000 per cent.
Pivo, which is joining the league of companies shutting down their businesses, offers banking services to small supply chain firms.
It does this by providing financing options for supply chain businesses like logistics service providers, clearing and forwarding businesses, and FMCG distributors.
However, it is not certain if Pivo encountered serious issues that threatened its ability to continue to offer such services to its clients.
“I cannot provide the specifics at this time but [I] will be happy to do so later,” Ms Amadi-Emina was quoted as saying.
Business Post reports that Pivo, co-founded by Ms Ijeoma Akwiwu, commenced operations in July 2021 and secured $2 million to expand its operations to East Africa.
Some of the investors that provided funding support to Pivo included Y Combinator, Mercy Corp Ventures, and Ventures Platform, among others.