The telecommunications company provided the funding a month after the closure of $326m from MTN, Rocket Internet, AXA and Goldman Sachs.
Telecommunications company Orange agreed today to invest €75m ($85m) in Nigeria-based e-commerce group Africa Internet Group (AIG) in a deal initiated by its corporate venturing subsidiary, Orange Digital Ventures.
Founded by e-commerce holding company Rocket Internet, AIG runs an e-commerce ecosystem that includes online retail, ride hailing, food delivery and classified listings platforms. Its flagship brand is Nigeria-based e-commerce marketplace Jumia.
In addition to the funding, Orange will also provide support as AIG looks to improve its customer service and expands its infrastructure, and will explore opportunities for synergy between the companies.
Jumia in particular will look to use the cash to strengthen its offering in the 11 countries in which it operates, with Morocco and Egypt set to be priorities.
Stéphane Richard, Orange’s chairman and CEO, explained: “With this strategic investment, Orange now has the capacity to play a leading role in the fast-growing e-commerce market in Africa. This acquisition is combined with the signature of several important partnership agreements that will create value for all parties.
“In particular, across the 12 countries where we have a common presence, this investment will enable us to significantly develop our ability to market products and services developed by Orange Middle East & Africa over the internet.”
Orange’s investment follows $326m of funding closed by AIG last month. Telecoms company MTN led that round, which included Rocket Internet, Goldman Sachs and €75m from insurance group AXA.
