Goodwell Investments, a Netherlands-based impact investor, has recently invested in OmniRetail, a Nigerian B2B e-commerce platform dedicated to modernising Sub-Saharan Africa’s informal retail networks, according to a report in TechAfrica.
Teaming up with its longstanding partner Alitheia Capital, a professional investment and advisory firm, Goodwell made this investment through its uMunthu II fund, which helps companies at early stages of development. The fund prioritizes backing local enterprises that drive social change and cater to neglected regions. Goodwell views OmniRetail as a promising asset within the uMunthu II investment portfolio.
According to Goodwell, these often-overlooked businesses form the backbone of Sub-Saharan Africa’s economy and contribute significantly to GDP and employment opportunities on the continent. Despite their important economic impact, these small ventures grapple with disjointed supply chains and fragmented distribution networks, which often hinder their growth and stability.
“Africa deserves a robust digital infrastructure layered on top of the existing informal retail – the impact of which cannot be overstated. As the largest employer and the only ecosystem that can truly ensure efficient distribution of essential goods, healthcare, and financial inclusion – informal retail plays a very important role in the economies we want to transform,” commented Archit Bagaria, Head of Investments at OmniRetail.
Oti Ilentamhen, Investment Principal at Alitheia, said: “With a strong focus on empowering underrepresented entrepreneurs, particularly women who make up 78% of its customer base, OmniRetail exemplifies the potential for technology-driven solutions to drive positive change in underserved communities”.
Established in 2019, OmniRetail supports essential digital infrastructure to tackle challenges within Africa’s commercial value chain, particularly those faced by informal retailers.
Using its flagship platform, Omnibiz, with its innovative solutions like OmniPay and Mplify, empowers retailers with resources and expands their business capabilities. These tools enable businesses to source products, establish credit, and enhance their operations for increased profit and growth. With a network boasting over 140,000 small retailers and partnerships with 90 brands, OmniRetail is set to revolutionize the retail landscape in the region.
