Konga Seeks $3.5 Billion In New York IPO
It’s just little over a year since technology firm, Zinox Group acquired ecommerce giant Konga.com in a down round from Naspers and Kinevik AB for an undisclosed sum.
Now the ecommerce group is planning an Initial Public Offering on the New York Stock Exchange by 2020, which will see the business valued at $3.5 billion.
This is according to information gathered from sources familiar with the listing.
Analysts said the move, which might happen in the last quarter of 2019, would further shore up the potential of the e-commerce industry in Nigeria.
A stock analyst on the NYSE, Mark Jessey, was quoted as hinting the strong possibility of a Konga IPO before the end of next year.
He said the news excited investors that had followed within the last eight months the huge strides and trajectory of the business after a transfer of ownership from Naspers and AB Kinnevik to Zinox, a Nigerian technology company.
It appears Konga is not alone on the move as it was also gathered that Jumia, another e-commerce giant in Nigeria, is also planning an IPO in New York this year that could value the business at about $1.5 billion.
Bloomberg had reported last week that MTN Group, Jumia’s largest shareholder was planning to raise about $600 million from selling its shares through the IPO, according to sources familiar with the listing.
As part of the acquisition of Konga in February 2018, Zinox assumed ownership of the e-commerce group, which comprised Konga.com, an online mall; KongaPay, a Central Bank of Nigeria-licensed mobile money platform with over 100,000 subscribers; as well as KOS-Express, a digitally-driven logistics company.
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