OmniRetail based in Lagos operates as a B2B e-commerce platform which has obtained $20 million Series A equity funding to transform the informal retail industry throughout Nigeria Ghana and Ivory Coast. Norfund together with Timon Capital led the investment round while Ventures Platform and Aruwa Capital joined with Goodwell Investments and Flour Mills of Nigeria to support Norfund in its initial African startup equity investment. The platform has obtained $38 million in funding since 2019 which enabled it to build a scalable and profitable operation that digitalizes FMCG supply chains and provides financial services.
Deepankar Rustagi established OmniRetail which serves 145 manufacturers together with 5,800 distributors and more than 150,000 retailers in 12 cities by allowing its app users to make inventory orders and digital payments and obtain working capital access. The asset-light approach with its logistics network of 1,100 vehicles and 85 local partners generated EBITDA positivity in 2023 and net profitability in 2024. Rustagi told TechCrunch that the success stems from aggregating network assets efficiently while mirroring Egypt’s Cartona. Rustagi declared that the ‘network of networks’ model achieves both profitability and scalability before announcing plans to broaden operations and enter new product markets including personal care and cold storage.
OmniRetail prioritized distribution expansion before offering credit services to its customers while it processed ₦1.3 trillion ($810 million) in annual transactions. The BNPL product Omnipay releases ₦19 billion ($12 million) in inventory credit payments every month while achieving minimal default rates. Through the 2024 acquisition of Traction Apps which operated as a Nigerian merchant solution platform OmniRetail gained improved payment capabilities and better access to retailer data which strengthened its supply chain management and customized financing options.
The head of Investment Archit Bagaria explained that the leadership team brought extensive FMCG experience to identify gaps in the value chain. “Financial inclusion is limited because of unclear business operations.” “The streamlined ecosystem enables large-scale payment services and buy now pay later options.” The company demonstrated its growth potential by achieving a 35% rise in net merchandise volume alongside a 40% increase in revenue while abandoning public GMV disclosure practices.
OmniRetail plans to increase its retailer network while seeking business acquisitions and obtaining debt financing for inventory purchases as part of its strategy to maintain profitable operations. OmniRetail’s technology-enabled approach to inclusion makes it the market leader in African informal retail where competitors have failed to achieve success.
