Takealot.com, South Africa’s fastest growing online retailer, has raised over $100 million for continued expansion in South Africa and sub-Saharan Africa.
The South African market has shown encouraging signs of ecommerce growth in the past three years as an increasing number of consumers become accustomed to transacting online. The potential for ecommerce is large: In a retail market in excess of R500 billion, online transactions currently account for less than 1%.
Tiger Global Management has invested in some of the leading online retail companies globally, including in India, China and Brazil.
“We are very excited about Tiger Global’s continued support of the business. This will allow us to accelerate growth and drive scale while continuing to delight our customers. We have tremendous potential in a large sustainable market and we are excited to keep investing for the long-term,” said Kim Reid, takealot.com CEO.
“We have been impressed with takealot.com’s execution since our initial investment in 2010 and believe the company is establishing a strong leadership position in South Africa and sub-Saharan Africa. takealot.com delivers a great customer experience, and we support its aggressive growth strategy,” said Lee Fixel, Partner at Tiger Global Management.
Global investment banking firm, Jefferies Group LLC acted as financial advisor on the transaction.