Retail in Asia

In Trends

African retailer Jumia secures USD149.6m in funding

African online retailer Jumia has secured a new round of investments amounting to EUR120 million (USD149.6 million).

JUMIA is part of Africa Internet Group (AIG) (formerly Africa Internet Holding), a leading Internet group in Africa with 9 companies in 26 countries. AIG is owned by three global experts in e-commerce and African markets: MTN, Millicom (Tigo) and Rocket Internet.

The company delivers the widest range of products from fashion to electronics and employs over 1,500 people across 10 countries.

Jeremy Hodara, co-CEO of Africa Internet Group said the investment confidence acknowledges JUMIA’s success and a recognition of the huge potential of e-commerce in Africa and the strong momentum of JUMIA across the continent.”

Started in a garage in Lagos, Nigeria in 2012, had built up its own logistics infrastructure – an entire warehouse near the city and its own fleet of drivers capable of delivering products within a day in the surrounding area.

Now, with operations in 10 countries, JUMIA is the largest e-commerce company in Africa and has more than doubled the amount of sales processed through its mobile and desktop applications in 2014.

In 2013, JUMIA became the first African company to win an award at the World Online Retail Awards in Paris, where it was celebrated as the “Best New Retail Launch” of the year.

With these new investments, we will continue to grow rapidly and consolidate our leading position,” said Sacha Poignonnec, co-CEO of Africa Internet Group.

With its marketplace platform for third-party merchants, JUMIA is offering an entry point for many international brands who are looking to enter or grow their presence on the African continent.

“We have the best possible set-up to accelerate the growth of online businesses in Africa and bring even more exciting e-commerce services to our customers. MTN believes that Africa is better placed to drive the next stage of growth in global e-commerce,” said Pieter Verkade, MTN Group Chief Commercial Officer.