December 7, 2021

Nigeria’s TradeDepot Raises $110M From IFC And Novastar

TradeDepot, a Nigeria- and U.S.-based company that connects consumer goods brands to thousands of retailers and helps with distribution, has raised $110 million in new equity and debt funding.

TradeDepot operates a B2B marketplace that connects small shops, kiosks, and retailers with wholesalers of global consumer brands that have access to food, beverages, and personal care products.

The company owns its warehouses and fleets of drivers to carry out the distribution.

It now plans to bring in more retail stores and expand its buy, pay later service across the continent. The Series B funding has come 18 months after they raised $10 million co-led by Partech Africa and the International Finance Corporation (IFC).

IFC also led the round. In addition, Novastar, Sahel Capital, CDC Group, Endeavor Catalyst, and existing investors Partech and MSA Capital participated in the crowdfunding.

The debt funding was led by Arcadia Funds, a lender that specializes in P2P and marketplace lending and insurance-linked securities.

CEO Onyekachi Izukanne told TechCrunch, “merchants can double or triple what they usually buy just because of this access.

“We think that these embedded financial services will be a key part of this narrative: Supply chain on the one hand, and everything related to financial services to make these businesses work on the other.

“We think they go together. And the last year and a half have been defined by us focusing on bringing more of these embedded finance products to market.”

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Abbianca Makoni

Abbianca Makoni is a content executive and writer at POCIT! She has years of experience reporting on critical issues affecting diverse communities around the globe.

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