– Wasoko and MaxAB finalize Africa’s largest tech merger, forming a Pan-African platform that serves over 450,000 merchants and 65 million consumers across five countries.

– The combined company launches new fintech services, including e-payments and credit financing, which have quickly surpassed traditional e-commerce revenue, especially in Egypt.

– Led by Co-CEOs Daniel Yu and Belal El-Megharbel, the merger attracts substantial backing from top global and regional investors, positioning the platform as a leader in Africa’s B2B digital and fintech sectors.

African B2B e-commerce leaders Wasoko and MaxAB have successfully completed the continent’s largest tech merger, transitioning from traditional B2B e-commerce firms into a multi-vertical platform serving Africa’s $600 billion informal retail sector.

The all-stock deal, finalized after preliminary terms in Q4 2023, creates a Pan-African platform that integrates Wasoko and MaxAB’s extensive online and offline expertise across Kenya, Tanzania, Rwanda, Egypt, and Morocco, connecting over 450,000 merchants with 65 million consumers.

In under 60 days, the companies merged their tech stacks and operations, launching new business units that go beyond e-commerce, including AI-driven systems for pricing, demand prediction, and route optimization. This combined entity also introduced fintech services, such as e-payments, credit financing, and digital top-ups, which have outpaced traditional e-commerce, particularly in Egypt, where fintech revenues are expected to double by the end of 2024.

With a workforce of over 4,000 employees, the newly formed company is co-led by Daniel Yu of Wasoko and Belal El-Megharbel of MaxAB.

Speaking about the announcement, Daniel Yu, Co-CEO at Wasoko and MaxAB, says, “Building on burgeoning trade ties between North and East Africa, this deal unifies the leading B2B players in both regions, establishing an unmatched platform for serving communities across the continent.

“Through our integrated technology stack, our expanded Pan-African reach uniquely positions us to offer the best products and services from across Africa at maximum accessibility and affordability, supercharging our growth beyond what either company could achieve independently,” Yu added.

“This merger proves that massive, world-class tech companies can be built in Africa for Africa,” says Belal El-Megharbel, Co-CEO at Wasoko and MaxAB. “As first-movers, we fully embrace our responsibility to drive the development of a mature and thriving ecosystem, building foundational infrastructure that will empower future companies to fully unlock Africa’s vast economic potential in years to come.”

The merger has attracted significant investment from prominent global and regional investors, positioning the platform as a leader in African B2B e-commerce and fintech. The company’s private-label products, essential goods like cooking oil and rice, have also seen strong growth, driving over 10% of total e-commerce sales and supporting cross-border trade initiatives within Africa.

Yu and El-Megharbel, who first connected during their seed rounds in 2018, now aim to set a new benchmark for scaling businesses across the continent with this merger.