Lagos-Based Chowdeck Raises $9M for Quick Commerce Strategy, Aiming to Become Africa’s Leading Super App
A Lagos-based food delivery startup, Chowdeck, has secured $9 million in Series A funding to implement a quick commerce strategy and expand operations across Nigeria and Ghana. The equity round was spearheaded by Novastar Ventures, with contributions from Y Combinator, AAIC Investment, Rebel Fund, GFR Fund, Kaleo, HoaQ, and others.
The investment underscores confidence in Chowdeck’s ability to leverage local market knowledge and execution to transform a traditionally challenging sector into a lucrative super app for food, groceries, and essential items. As the CEO and co-founder Femi Aluko noted, “We are excited about this round as it brings us closer to our vision of becoming Africa’s leading super app.”
Launched in October 2021 by Aluko, Olumide Ojo, and Lanre Yusuf, Chowdeck currently serves 1.5 million customers across 11 cities in Nigeria and Ghana through a network of over 20,000 riders. The company’s logistics system typically delivers orders within 30 minutes, with more than half of deliveries in densely populated areas completed via bicycle.
In a market where prominent players have either exited or scaled back their African operations, Chowdeck has capitalized on the complexity of local markets by delivering local cuisines – a more operationally demanding challenge – to build customer trust.
Since 2024, the value of meals delivered through Chowdeck has increased over sixfold compared to the previous year, with the company surpassing its 2024 total before July this year.
The fresh capital will enable Chowdeck to roll out quick commerce, an ultra-fast delivery model supported by a network of dark stores and hyperlocal logistics hubs. By the end of this year, the company aims to open 40 dark stores and 500 by the end of 2026, with two to three new stores launching each week. Chowdeck had previously raised $2.5 million in a seed round last year.
Despite fierce global competition in food delivery, well-executed services like DoorDash have demonstrated significant potential. In contrast, quick commerce has been a capital-intensive risk in most markets, with companies like Gorillas and Getir burning through hundreds of millions of dollars before retreating or consolidating. Indian platforms such as Blinkit, Zepto, and Swiggy have varying levels of success with the model regarding profitability.
Chowdeck has remained profitable since before this round, with Aluko stating that the company enters cities and verticals with a plan to break even within a couple of weeks. For instance, Chowdeck expanded into Ghana in May 2023, handling 1,000 daily orders without paid advertising within three months due to pent-up demand for a service offering local favorites alongside international cuisines. The company aims to increase this volume to 5,000 daily orders by the end of September 2025.
In addition to dark stores, Chowdeck plans to leverage software to optimize operations, having acquired Mira – a point-of-sale provider for African food and hospitality businesses – in June 2023. Mira’s real-time inventory and order management tools will help Chowdeck streamline its restaurant and grocery delivery operations, positioning the company as a vertical SaaS-plus-logistics provider for restaurants.
Chowdeck’s funding round signifies a positive development for local players in the sector following Jumia’s exit, leaving market share to foreign brands such as Glovo, Bolt Food, and Yango. However, some of these companies have also withdrawn from certain markets, including Nigeria and Ghana, which Chowdeck is now targeting aggressively.
Other local companies offering food delivery services in various African markets include super apps like Gozem, YC-backed Yassir, and MNT-Halan. As Aluko notes, “The market is still very early. Customer behavior is shifting online for the first time. A whole generation is growing up ordering food without ever having visited some of the restaurants or markets on our platform.”
For lead investor Novastar Ventures, the investment represents a bet on execution and local insight: “Chowdeck is building the future of logistics for African cities,” said partner Brian Waswani Odhiambo. “With deep local insight, a sustainability-first approach, and impressive execution, it is redefining last-mile delivery on the continent.”
