Naspers has invested $69 million (R960 million) into South Africa’s Takealot two years after both Tiger Global and Naspers pumped cash into the firm after an online merge that saw Naspers’s Kalahari.com swalloed up into Tiger Global-backed Takealot in 2014.
“We are super excited about this latest investment as it will allow us to continue to grow the business in a market with huge potential. Naspers has been a wonderful supporter of our business and we are grateful for their ongoing commitment and show of confidence in
both the business and the market. This is great news for our customers and employees alike.” Said Takealot Founder and CEO Kim Reid.
The merger of the two was to show confidence in the potential of South Africa’s ecommerce sector and even grow it further.
Takealot.com, went ahead to acquire Superbalist.com, Mr D Food and Mr D Courier to grow its online offerings. Retail remains a highly competitive market in South Africa, and online retail accounts for less than 2% of the non-grocery retail market and less than 1% of the total retail market. With online retail penetration, according to Euromonitor, in the teens in the US and UK retail markets, and at 17% in China, the potential in South Africa is clear to see.
“The team continues to drive exciting growth and shows great promise in a market we expect to go from strength to strength. We are pleased to support their ambitions to build an enduring ecommerce business for South African consumers and Takealot’s partners
alike” said Oliver Rippel, CEO, B2C Ecommerce, Naspers.
Takealot has filed a large merger notification with the South African Competition Commission in anticipation of finalising the investment from Naspers, which would make Naspers the majority shareholder in Takealot