Jumia raises $50 million in new equity led by IFC with Axian Telecom

Jumia has raised $50 million in new equity, with IFC leading and Axian Telecom taking part alongside other investors that were not named. Bloomberg reported the deal on 12 August, in coverage carried on Jumia's own news page. The source does not name a series or stage for the round.

Who is backing the round

IFC, the World Bank's private sector arm, led with about $25 million. Axian Telecom is Jumia's largest shareholder and joined the raise.

What the money is for

The funds will strengthen the balance sheet, reduce risk in the company's plans, and support selective investment in additional supply and logistics. Jumia runs an online marketplace in Africa, backed by its own logistics business, Jumia Logistics. The company is about 15 years old and trades on the New York exchange.

Where the business stands

Jumia operates in eight markets. The source names Nigeria, Egypt, Kenya and Ivory Coast. Its shares trade at about $6, down from more than $60 in 2021, which values the company at about $743 million. Management says it expects to reach profitability in the fourth quarter for the first time. Supply from China and Turkey has held up despite fuel price and inflation pressure linked to the Middle East.

At a glance

• Company: Jumia
• Raised: $50 million
• Investors: IFC (about $25 million), Axian Telecom and others
• Founded: About 15 years ago
• Markets: Eight African markets, including Nigeria, Egypt, Kenya and Ivory Coast
• Key figure: Market value of about $743 million