Axian Telecom, the pan-African telecommunications group led by Malagasy entrepreneur Hassanein Hiridjee, is considering a full acquisition of Jumia Technologies AG, the continent’s leading e-commerce platform. Having started increasing its stake in Jumia in June, Axian currently holds a 9.18% share valued at $52.5 million.
To finance this potential acquisition, Axian recently raised $600 million through international bond markets. While the final decision is still pending, the company views the move as a strategic opportunity to accelerate growth across Africa, consistent with its history of expansion through acquisitions and joint ventures.
Based in Mauritius, Axian Telecom operates in several African markets including Tanzania, Madagascar, Comoros, Senegal, and Togo. Jumia’s footprint spans 11 countries, including Nigeria, Kenya, Morocco, Egypt, Tunisia, South Africa, Algeria, Senegal, Ghana, Ivory Coast, and Uganda.
Reports indicate strong confidence from Axian in Jumia’s evolving strategy, operational improvements, and growing logistics network, which are seen as key to future growth.
Focus on Fintech Expansion
Beyond e-commerce, Axian is particularly interested in JumiaPay and the fintech potential embedded in Jumia’s ecosystem. The group aims to transform Jumia from a pure e-commerce platform into a comprehensive digital payments hub, furthering financial inclusion across Africa.
Hassan Jaber, Axian Telecom’s CEO, framed the acquisition as a long-term investment in Africa’s digital economy. “Jumia’s digital retail infrastructure, fintech capabilities through JumiaPay, and logistics strengths uniquely position it to promote financial and economic inclusion for the communities it serves,” he said. “This makes Jumia a very attractive investment aligned with our core values.”
Founded in Nigeria in 2012, Jumia currently holds an estimated market valuation of around $500 million and has been publicly traded on the New York Stock Exchange since 2019. A full acquisition could lead to Jumia’s delisting from the stock exchange.
While Jumia has yet to demonstrate consistent profitability and faces fierce competition from platforms such as Temu, this acquisition could provide the company with the financial backing and strategic support needed to sustain and grow its market position.
