Nigerian B2B eCommerce startup, OmniRetail, has solidified its position in the fintech market by acquiring Traction Apps, a prominent Nigerian fintech company. The acquisition, finalized for an undisclosed sum, aims to enhance OmniRetail’s payment solutions and expand its reach.
Traction Apps, founded by former McKinsey consultants Mayowa Alli and Dolapo Adejuyigbe, has made significant strides in providing payment tools to small businesses across Nigeria. With a user base of over 100,000 merchants, the company has successfully leveraged its data-driven approach to offer additional financial services.
The integration of Traction’s Point-of-Sale (PoS) solution into OmniPay, OmniRetail’s payment platform, is a strategic move. This phased integration is expected to be completed by the first quarter of 2025.
Both Alli and Adejuyigbe will assume key roles at OmniRetail, with Alli leading the technology team for payments and Adejuyigbe heading operations.
Related: Octavia Carbon Raises $5 Million to Scale DAC Technology
Deepankar Rustagi, a key figure at OmniRetail, expressed enthusiasm about the acquisition, highlighting the synergistic potential between the two companies. By combining their strengths, they aim to simplify payments, credit access, and loyalty solutions for retailers and SMEs, empowering them in the digital age.
The acquisition is expected to have a substantial impact on the market. The newly formed entity is poised to process over ₦1.8 trillion in transactions and ₦200 billion in loans annually, while serving a customer base of 180,000 merchants.
Ventures Platform, a significant investor in both startups, played a pivotal role in facilitating the deal. Dotun Olowoporoku, Managing Partner at Ventures Platform, emphasized the company’s commitment to leveraging its portfolio companies to create more robust solutions for African SMEs.
This strategic acquisition marks a significant milestone for OmniRetail, positioning it as a leading player in the Nigerian fintech landscape.
Leave a comment