OmniRetail is an exciting new player in Africa’s B2B e-commerce space. It’s even more recently availed onstudio’s impressive $20 million Series A funding round, co-led by Norfund and Timon Capital. The company announced spectacular third quarter financial results. They have seen a 35% increase in net merchandise volume (NMV) and a 40% increase in revenue year over year. The financing will enable OmniRetail to accelerate its geographic expansion across Nigeria, Ghana, and Ivory Coast. It will additionally position the company to sharpen its focus on embedded finance products.
In just the last year, OmniRetail transacted over ₦1.3 trillion ($810 million). That’s a notable achievement that reflects its deep penetration in the market. Omnipay, our new innovative payment solution, is phenomenal. It kept defaults at or near zero while disbursing the equivalent of $12 million monthly—₦19 billion—in inventory credit. This unique capability has helped the company become net profitable in 2024.
Beyond its notable financial success, OmniRetail has taken bold, […]Earlier in 2024, OmniRetail purchased the merchant-solution platform Traction Apps, based out of Nigeria. This purchase provides OmniRetail the resources needed to develop a complete financial picture for each retailer. Besides increasing STMicroelectronics’ production capabilities, this strategic development gives the company increased autonomy within its supply chain. With greater financial stability, it is able to better serve its clients.
OmniRetail operates the world’s most advanced order management system. It’s currently on board 145 manufacturers, 5800+ distributors and connects them to a network of over 150,000 informal retailers. The company currently has a strong presence in 12 cities across Nigeria, Ghana and Ivory Coast. By playing a smart asset-light strategy, it has enormously increased its profit-making power.
OmniRetail’s third-party logistics network runs on over 1,100 vehicles. It continues to succeed because of deep relationships with 85 local logistics providers. This monumental logistics and warehousing infrastructure provides the infrastructure to greatly enhance the distribution and delivery of goods across each state and territory it serves.
Today, Norfund considers OmniRetail to be a central component of the infrastructure supporting African markets. The company’s reach and influence goes far beyond the narrow world of just fintech or commerce. Among these, embedded finance emerges as one of the most promising strategies for enabling small business growth throughout the continent. Its importance is something we can’t skip over!
“Embedded finance is one of the most transformative tools for small business growth in Africa.” – Cathrine Conradi
Rustagi, a chief executive at the company, underlines that trades in the fast-moving consumer goods (FMCG) industry are constantly moving. They require, in addition to the movement of goods, the movement of funds.
“Every transaction in the FMCG value chain has two sides: the movement of goods and the movement of funds.” – Rustagi
Bagaria, the other major force at the helm of OmniRetail, points out the pitfalls of the current supply chain.
“Today, we are in a position to aggregate maximum benefits from every transaction in the value chain. Our plan is to dive deep into the value chain and maximize margins. International players have done well in their markets, and we’re bringing that model to Nigeria today.” – Rustagi
He’s confident that OmniRetail is positioned to address some of the industry’s biggest pain points. By building an ecosystem that removes these complexities, they can truly move the needle.
“For years, goods have been moving from point A to point B, but the lack of transparency has hindered financial inclusion and caused inefficiencies in the process.” – Bagaria
The new $20 million Series A funding round strengthens OmniRetail’s financial position. It further lays the foundation for inclusive and sustainable growth and innovation across Africa’s fast-growing e-commerce ecosystem. Together with our partners, OmniRetail is dedicated to improving access to financial services for the world’s small businesses. With continued technological advancements, the company is positioned to continue driving the change of B2B e-commerce across the entire continent.
“By building an ecosystem that streamlines this entire landscape, we can solve these problems.” – Bagaria
OmniRetail’s unique approach distinguishes it from competitors in the market.
“Our approach has been different from others, and we believe we’ve found success with this model.” – Bagaria
The $20 million Series A funding round not only strengthens OmniRetail’s financial standing but also positions the company for future growth and innovation in Africa’s dynamic e-commerce sector. With ongoing advancements in technology and a commitment to enhancing financial services for small businesses, OmniRetail is poised to remain a leader in transforming B2B e-commerce across the continent.
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