E-commerce company Naspers has announced its plans to invest R960m ($69m) in South African e-retailer Takealot Online.
The latest development follows an additional investment from Tiger Global in 2015.
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Takealot said a large merger notification has been filed with the South African Competition Commission, in order to receive investment from Naspers.
With this funding, Naspers would become the majority shareholder in Takealot.
Takealot founder and CEO Kim Reid said: “Naspers has been a wonderful supporter of our business and we are grateful for their ongoing commitment and show of confidence in both the business and the market.”
Merged with Kalahari in 2014, Takealot has a group of businesses such as general e-tailer takealot.com, fashion e-tailer Superbalist.com, restaurant food delivery service Mr D Food, and point-to-point courier services Mr D Courier.
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By GlobalDataNaspers B2C e-commerce CEO Oliver Rippel said: “The team continues to drive exciting growth and shows great promise in a market we expect to go from strength to strength.
“We are pleased to support their ambitions to build an enduring e-commerce business for South African consumers and Takealot’s partners alike.”
Online retail in South Africa accounts for less than 2% of the non-grocery retail market and less than 1% of the total retail market.
Image: Naspers building in Cape Town, South Africa. Photo: courtesy of CC-BY-SA-2.5 via Wikipedia.
