According to online publication Cp-Africa, the asset management arm of J.P Morgan will take a stake in the African ventures through a German holding company in an all cash for equity investment. However, the amount of the investment was not disclosed.
Zando’s Co-founder and Managing Director, Manuel Koser, said: “Attracting such a reputable international investor to support our future growth shows commitment and confidence in our business… This investment will assist the business by supporting its vision and all of its operations.”
Tunde Kehinde & Raphael Afaedor, Jumia cofounders and joint-CEO’s noted that the investment was a “real turning point” for the Nigerian-based company and the enhancement of online retailing in the country.
With Nigeria’s middle class improving and consumer consumption growing, the J.P Morgan investment confirms Nigeria will become a very large market in the not-to-distant future.
Robert Cousin, an official of the investor, while commenting on the deal said the company was “excited” partnering with the African online businesses.
Jumia was launched in June 2012 and offers a wide range of general merchandise categories such as fashion apparel, shoes, electronics, mobile phones, books, toys, beauty products and many more categories. The company currently operates in Nigeria, Egypt and Morocco, with plan to expand in additional countries in the coming months.
Zando is a leading online fashion store offering choice and accessibility to South African consumers with over 300 local and international brands and a large selection of styles featured online.