Jumia has finally had its IPO at the New York Stock Exchange. The e-commerce giant raised the sum of $196 million during the IPO where it sold 13.5 million American Depositary Shares at $14.50 each.
Founded, 2012 in Nigeria West Africa by two Frenchmen Jérémy Hodara and Sacha Poignonnec, there have been controversies surrounding Jumia’s root in Africa since the announcement of this IPO around the second week of March.
This announcement stirred up questions as to how African Jumia is, with Rebecca Enonchong, Founder and CEO Apps Africa being quite vocal regarding the controversy. In an interview with CNBC the Africanness of Jumia was countered, as the interviewer asked why the African employees work only in their warehouses and its engineers in Portugal. This question arose after Jumia’s CEO mentioned that they have over 5000 African employees.
Thanks to @cnbc for challenging how ‘African’ Jumia is.
Jumia CEO: We have over 5000 employees in Africa
CNBC: Yes but they work in warehouses. Your engineers are in Portugal
— Rebecca Enonchong (@africatechie) April 14, 2019
Jumia’s initial listing date after its announcement was set for 11th of April 2019, the IPO was later postponed to the 12th of April 2019. The e-commerce platform listed with aims to say afloat considering that it incurred a loss up to €165.4 million in 2017 and a loss of €170.4 million in 2018. The platform attested that as of December 31, 2018, it accumulated losses of €862.0 million.
Jumia said all its employees across Africa rang the bell at the same time the IPO took place. The company revealed the success of the event was as a result of teamwork. Jérémy Hodara and Sacha Poignonnec Jumia’s co-founders said; “Everyone who participated in this adventure deserves to be congratulated today. This event is only a stage, we are only at the beginning of a long and great trip. We will continue to focus on our mission and work even harder to help consumers, vendors, partners, and all stakeholders benefit from this technological revolution.”
Jumia currently operates across 14 African countries with more than 81 000 active sellers and about four million consumers. The company offers diversified services like; property marketplace, food delivery, classifieds, online hotel bookings, and a flight marketplace.