Jiji – the largest classifieds marketplace in Nigeria – has reached an agreement to redirect OLX users in Nigeria to Jiji and to acquire OLX businesses in four other countries, building a leading pan-African classifieds business
OLX, online classfied portal has been a major player in the African market for almost a decade even from its original name Dealfish. However, things have not been going well for the online platform as new entrants including Jumia has pushed it to the blink.
And now Nigerians have come to the rescue in the name of Jiji.
Jiji and OLX have announced that both companies have reached an agreement under which Jiji will acquire OLX businesses in Ghana, Kenya, Tanzania, and Uganda, pending certain regulatory approvals, and OLX users in Nigeria will be redirected to Jiji. The transaction is backed by one of Jiji’s cornerstone investors, Digital Spring Ventures.
Joining Jiji’s family will allow OLX users in these countries to benefit from Jiji’s market-leading products and services. OLX’s reach, combined with Jiji’s own proprietary search and delivery algorithms, will create a beneficial combination – giving users a radically streamlined experience and making the buying and selling process more convenient.
Anton Volyansky, CEO and co-founder of Jiji commented, “Users will always come first for us. We warmly welcome OLX’s customers to the Jiji family and we look forward to our new customers joining Jiji on its journey to empower the lives of its customers by providing a safer, more secure and enjoyable online shopping experience”.
Vladimir Mnogoletniy, Board Director and co-founder of Jiji commented, “We believe that this transaction is pivotal for Jiji’s business. We are a long-term investor in Africa and believe in the exceptional opportunities that exist in this amazing continent. With this transaction we plan to build the largest Africa-based classifieds business, creating a new experience for Africa’s fastest-developing countries and their combined population of 300 million. We firmly believe that in the next 2-3 years ours will be one of the top 10 classifieds businesses in the world by traffic.”
Sjoerd Nikkelen, General Manager of OLX in Africa, Middle East and Asia comments “We are proud of our achievements in Africa, including the sustainable businesses we have built in Nigeria, Ghana, Kenya, Tanzania, and Uganda. We continually evaluate our portfolio of classifieds businesses to ensure a disciplined approach to how and where we allocate capital and management time. With our focus on accelerating the growth of other markets, now is an opportune time to sell our interests in these markets. We are pleased that Jiji will continue to provide the exceptional quality of products and services that the customers in these countries have come to know and enjoy from OLX.”
Zhanibek Sydykov, Partner at Digital Spring Ventures, commented, “We are pleased to be able to assist our partners at Jiji on this transaction, and we strongly believe that the combined Jiji and OLX businesses will become a formidable force in the African e-commerce market. This transaction further advances the consumer reach of one of the star portfolio companies in our current fund, which is focused on partnering with ambitious entrepreneurs to deploy capital in the internet and technology sectors in some of the world’s most exciting emerging markets.”
Following closing of the transaction (which is expected to occur once certain regulatory approvals have been obtained), all users of the sell-and-buy classifieds websites of OLX Nigeria, OLX Ghana, OLX Kenya, OLX Tanzania, and OLX Uganda will be redirected to Jiji. The Jiji team will strive to make the transfer seamless, and to provide a high-quality user experience across all geographies.