Ringier Africa Deals Group, a newly-founded joint venture between Swiss Ringier Africa AG and South African-based Silvertree Internet, on Wednesday announced it has acquired one of Nigeria’s biggest online shopping platforms, DealDey, for an undisclosed amount.
The deal represents Silvertree’s first e-commerce investment in Nigeria.
The JV’s partners, Ringier Africa and Cape Town-based Silvertree, aim to lead the online deals businesses through continued collaboration with local merchants and brands wanting to enter the markets of Ghana, Kenya and Nigeria.
Silvertree has already expanded its own e-commerce portfolio in South Africa, having acquired PriceCheck from Naspers in November of last year. Ringier Africa’s mother company Ringier AG runs DeinDeal and Geschenkidee, the two biggest online deals and gifting platforms in Switzerland respectively.
The transaction to establish Ringier Africa Deals Group would enable the new joint venture to invest significantly in Nigeria’s fastest-growing multi-billion-dollar e-commerce market.
“We are extremely excited to be entering three of Africa’s most exciting e-commerce markets, through our partnership with Ringier and joint investment into DealDey, Rupu and Tisu. Through this deal, we get to build on excellent existing platforms as we look to serve Africa’s emerging middle class,” says Silvertree co-Managing Director Paul Cook.
“With Ringier’s deep content expertise and African footprint, we look forward to further accelerating the growth of these exciting businesses. Our focus will be on rapid but sustainable growth, as Africa’s e-commerce industry starts to mature and consumers look for world-class offerings, excellent customer service and great deals.”
DealDey, the online deals e-commerce platform, was launched in 2011 by serial entrepreneur Simdul Shagaya together with Investment AB Kinnevik.
It has more than 1 million users, 15,000 active merchants and 20,000 verified listed businesses, making it the largest online deals business in the region.
Kehinde Oriola will continue as the CEO of DealDey as part of the new Ringier Africa Deals Group.
“Ringier Africa has identified e-commerce as a key area for growth and we are excited by the inclusion of DealDey in the Ringier Africa Deals Group. With the addition of e-commerce-experienced Silvertree as a partner and investor, we are on track to significantly increase our interest in the space, with particular focus on serving the important markets of Nigeria, Ghana and Kenya,” says Ringier Africa General Manager Leonard Stiegeler.