# OmniRetail Secures $20M Series A to Revolutionize Africa’s B2B E-Commerce Landscape

## OmniRetail Secures $20M Series A to Revolutionize Africa’s B2B E-Commerce Landscape

OmniRetail, a Nigerian startup focused on transforming informal retail in Africa through technology and embedded finance, has announced a $20 million Series A funding round. This investment signifies continued confidence in the company’s vision, especially amidst a fluctuating B2B e-commerce market in Africa.

The Series A round was co-led by Norfund, a Norwegian development finance institution making its first direct equity investment in an African startup, and Timon Capital, a VC firm based in Lagos. Existing investors Ventures Platform, Aruwa Capital, Goodwell Investments (via Alitheia Capital), and Flour Mills of Nigeria also participated. The new capital will fuel OmniRetail’s expansion across Nigeria, Ghana, and Ivory Coast, while also enabling a deeper focus on embedded finance solutions for its vast network of retailers.

Founded in 2019 by Deepankar Rustagi, OmniRetail aims to tackle the persistent supply chain and operational challenges faced by the fast-moving consumer goods (FMCG) sector in Africa. The company’s platform digitizes order management for 145 manufacturers and over 5,800 distributors, serving more than 150,000 informal retailers across 12 cities. These retailers use the OmniRetail app to streamline inventory ordering, access working capital, and facilitate digital payments. The system is supported by a robust third-party logistics network comprised of over 1,100 vehicles and a distributed warehousing infrastructure managed by 85 local logistics partners.

This Series A round brings OmniRetail’s total funding to $38 million in equity and debt. According to Rustagi, this positions the company to become a dominant player in a segment where many others have struggled to achieve profitable growth.

OmniRetail differentiates itself through an asset-light strategy. In 2023, the company achieved EBITDA positivity and followed that up with net profitability in 2024. This contrasts with the struggles of other B2B e-commerce platforms in Africa, many of which faced mounting pressure and declining investor enthusiasm.

“The profitability journey was an outcome of our efficiency in utilizing the assets that we aggregated in the network,” explained Rustagi. “This has proven that the model that we put together as a ‘network of networks’ is profitable and is highly scalable. That’s the reason we went ahead and raised the capital to finally put the metal on the pedal and scale in more geographies and in more categories. We’re expanding now not just to grow, but to optimize.”

Echoing this sentiment, Rustagi and OmniRetail’s head of investment, Archit Bagaria, highlighted the company’s deep understanding of the FMCG retail ecosystem as a key differentiator. The leadership team’s extensive experience offers a unique advantage in navigating the value chain, identifying key players, and recognizing areas where transparency is lacking.

“For years, goods have been moving from point A to point B, but the lack of transparency has hindered financial inclusion and caused inefficiencies in the process,” said Bagaria. “By building an ecosystem that streamlines this entire landscape, we can solve these problems.”

OmniRetail’s strategic approach also involves a measured rollout of financial services. Unlike some competitors who launched credit products prematurely, OmniRetail waited until it had achieved significant distribution scale and data. As a result, the company processed over ₦1.3 trillion (~$810 million) in transactions last year, with its buy-now-pay-later (BNPL) product, Omnipay, disbursing ₦19 billion monthly (~$12 million) in inventory credit with near-zero defaults.

The acquisition of Nigeria-based merchant solution platform Traction Apps in 2024 further strengthens OmniRetail’s financial capabilities. Traction Apps provides full-stack payment capabilities, including POS terminals, PSSP and Super Agent licenses, and access to retailer-level sales data, giving OmniRetail a comprehensive financial profile of each retailer.

Looking ahead, OmniRetail plans to leverage the $20 million in new funding to expand its retailer base, introduce new product categories like personal care, home care, and cold storage, and upgrade its infrastructure, including credit underwriting tools. The company also plans to pursue a debt raise for inventory finance and explore strategic acquisitions.

Norfund sees OmniRetail as a vital infrastructure player in Africa’s retail landscape. “Embedded finance is one of the most transformative tools for small business growth in Africa,” said Norfund Investor Director Cathrine Conradi. “OmniRetail’s model brings capital to areas where traditional systems haven’t reached.”

Timon Capital, which has supported OmniRetail since its seed stage, believes the company is now at a pivotal point. “OmniRetail has now hit an inflection point in distribution, payments, and credit, showing just how much profitable growth they can generate with their expanding footprint,” the firm stated.

By focusing on efficiency, strategic partnerships, and a deep understanding of the African retail market, OmniRetail is poised to continue disrupting the B2B e-commerce space and empowering informal retailers across the continent.