Africa Internet Group (AIG), the parent company of leading online retailer Jumia, has secured 225 million euros ($326 million) in funding from investors including existing ones, MTN and Rocket Internet and a new investor U.S. bank Goldman Sachs.
The investment is coming just weeks after the firm attracted 75 million euros from French insurance giant AXA showing investor confidence in the group amid economic challenges facing African countries.
“This investment is a recognition of the success that Jumia has already achieved and provides us with a strategic flexibility to further support our efforts to offer the best shopping experience to our customers,” said Sacha Poignonnec and Jeremy Hodara, founders and co-CEOs of Jumia and AIG.
“We are delighted to welcome AXA and Goldman Sachs as new investors and are also grateful for the continued confidence from our existing shareholders. To us, it is a recognition of the quality of our operations across the African continent and an affirmation of the significant growth potential of Jumia.”
Jumia, which is present in 16 African countries intends to use the funds to support its growth and exploit attractive development opportunities on the continent along with AIG’s other companies.
Since it was founded in 2012, AIG has created 71 companies in 8 different verticals: online retail, food ordering platform, online marketplace, real estate marketplace, vehicle marketplace, taxi hailing, online travel agency and P2P lending marketplace, riding on the support of three big players in the African market — Millicom, MTN Group and Rocket Internet.