Jumia, the leading Nigerian e-commerce player is to benefit again from increased funding following the March 2014 injection of $26m. The new funding window amounting to $149,698,800 is coming from investors and shareholders who want to capitalise on the increasing level of success recorded in the few years of operation in Africa.
The award winning online retailer which won the Best Retail Launch of the Year award at the World Retail Congress in Paris one year ago in a event organised by the publishing company EMAP, has had an impressive growth in Nigeria. Part of the Africa eCommerce Holding GmbH, the company saw some existing share holders increasing their holdings by as much as 3%. According to a release issued by Andreas Winiarski, ”
Andreas Winiarski, Vice President, Global Communications at Rocket Internet
Existing shareholders of Africa eCommerce Holding GmbH (“Jumia”) agreed to invest the total amount of EUR 120.0 million in Jumia. Africa Internet Holding GmbH (“Africa Internet Group”) participates in this financing round with an amount of EUR 108.3 million with the remaining EUR 11.7 million being provided by other existing shareholders through intermediate holding company BGN Brillant Services GmbH (“Bigfoot II”). Based on this financing round, Jumia’s post-money valuation increases from EUR 212.5 million to EUR 445.0 million and Rocket Internet AG’s (“Rocket Internet”) total post-money shareholding (all indirect stakes together) in Jumia increases from 26.9% to 28.7%. This results in an increase in the last portfolio value (LPV) of Rocket Internet’s total stake in Jumia of EUR 70.4 million (from EUR 57.3 million to EUR 127.7 million).
JUMIA Africa’s leading online shopping destination has customers across the continent and they are present in Cameroon, Egypt, Ghana, Ivory Coast, Kenya, Morocco, Nigeria, Uganda, UK, and Tanzania. They offer a wide assortment of high quality products and brands such as fashion, consumer electronics, home appliances and beauty products.
Recently, Jumia entered into an agreement with some other companies to form the Africa Internet Group. The other members of the group include: MTN, Millicom (Tigo) and Rocket Internet. Speaking on the partnership, MTN’s Pieter Verkade said:
“Working with our strategic partners, 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”
Peter is MTN Group’s Chief Commercial Officer
Whether the increased funding is to up Jumia’s role in this new and exciting e-commerce rush is not in doubt. What remains to be seen is what that new offering will be.
Amazing New Products 