Aruwa Capital Management (“Aruwa”), an early-stage growth equity and gender lens fund investing in Nigeria and Ghana, has recently made an investment in OmniRetail, also known as OmniBiz. OmniRetail is a tech-first B2B e-commerce company that provides end-to-end retail operations solutions for manufacturers, distributors, logistic partners, and retailers in Nigeria and Africa. The investment amount and specific details were not disclosed.
Why The Investor Invested
There are several reasons why Aruwa Capital Management invested in OmniRetail. Firstly, they were impressed by the innovative technology stack developed by OmniRetail. The interconnected technology solutions created by the company address real-life challenges in the retail value chain in Africa. Aruwa Capital believes that this technology stack will play a significant role in OmniRetail’s long-term network-effect strategy within the FMCG value chain in Africa.
Furthermore, Aruwa Capital recognized the depth and robustness of OmniRetail’s supply chain operations, which have powered the growth of the company over the past three years. They view these capabilities as a key factor in the company’s success and potential for future growth.
Additionally, Aruwa Capital sees strong prospects for OmniRetail’s OmniPay platform. The company has demonstrated a customer-centric approach and a commitment to creating real impact for all stakeholders. Aruwa Capital believes that the OmniPay platform, along with other technology solutions, will contribute to the company’s market deepening and expansion plans.
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Moreover, Aruwa Capital’s investment aligns with their gender lens investing strategy. OmniRetail is actively promoting the economic growth and empowerment of women retailers in Africa. Over 78% of OmniRetail’s retailers and distributors are women, and the company has significantly improved their earnings potential. Aruwa Capital recognizes the importance of women empowerment and inclusion through their investments, making OmniRetail an attractive opportunity for them.
A Look at OmniRetail
OmniRetail, also known as OmniBiz, was founded in 2019 by Deepankar Rustagi. It initially started as a salesforce automation software company, catering to brands and distributors in the FMCG sector. However, in response to the COVID-19 pandemic, OmniRetail recognized the need to address the broader challenges within the retail value chain. As a result, they developed OmniBiz, an online shop that allows retailers to order stock and have it delivered within 24 hours.
The primary markets of OmniRetail are Nigeria and Africa, where it serves a large and robust retail market. Africa has over 100 million independent and informal retailers, generating over $1 trillion in annual sales. The company aims to simplify the distribution processes for leading brands and manufacturers in Africa, providing them with technology-driven solutions, market insights, and streamlined operations.
OmniRetail’s suite of services includes a wide range of offerings such as seamless access to a variety of stock-keeping units (SKUs), order fulfillment, payments and collections, inventory financing, inventory management, and business intelligence. Their goal is to enable financial inclusion within the entire ecosystem by leveraging data and technology to gain visibility into the business and cash flow health of their retailers.
In addition to its business focus, OmniRetail places a strong emphasis on gender equality and economic empowerment. With over 50,000 women retailers benefiting from improved revenue and inclusion in the digital financial bracket, the company actively contributes to the growth and empowerment of women in Nigeria and Africa.
Overall, OmniRetail aims to digitize and empower the African supply chain, maximizing profits for retailers, distributors, and manufacturers through its innovative technology solutions and efficient business execution.
Charles Rapulu Udoh
Charles Rapulu Udoh is a Lagos-based lawyer, who has several years of experience working in Africa’s burgeoning tech startup industry. He has closed multi-million dollar deals bordering on venture capital, private equity, intellectual property (trademark, patent or design, etc.), mergers and acquisitions, in countries such as in the Delaware, New York, UK, Singapore, British Virgin Islands, South Africa, Nigeria etc. He’s also a corporate governance and cross-border data privacy and tax expert.
As an award-winning writer and researcher, he is passionate about telling the African startup story, and is one of the continent’s pioneers in this regard