AXIAN Telecom Acquires Stake in Jumia

Pan-African telecom operator AXIAN Telecom has acquired an 8% minority stake in Jumia, the e-commerce platform. The stake acquisition was disclosed through a Schedule 13D filing with the U.S. Securities and Exchange Commission.

AXIAN Telecom, which operates across several African markets, described the investment as part of its broader commitment to fostering digital and financial inclusion on the continent.

“Jumia’s work in digital commerce and fintech aligns closely with our values,” said AXIAN Telecom CEO Hassan Jaber. “We’re excited to support their growth and believe their infrastructure and services are well-positioned to advance economic inclusion across Africa.”

Jumia has faced significant challenges since becoming the first African tech company to list on the New York Stock Exchange in 2019. Struggles with profitability, high competition, and logistical barriers in key markets like Nigeria and Kenya have caused investor concerns in recent years.

Since the appointment of CEO Francis Dufay in 2022, the company has initiated a major restructuring. This includes exiting unprofitable markets such as Tunisia and South Africa, cutting operational costs, and doubling down on core markets—Nigeria, Kenya, Egypt, and Morocco. Jumia is also sharpening its focus on fast-moving consumer goods and expanding its fintech arm, JumiaPay.

“Since assuming the role of CEO, I have focused on initiatives aimed at strengthening our business and placing us on a path to profitability,” Dufay said during the announcement of the market exits. 

Vinod Goel, Jumia’s East African Regional CEO, recently revealed plans to scale third-party logistics services and increase product offerings from both local and global brands. “Our focus is on building value for both customers and partners across the ecosystem,” he said.