OmniRetail, a Nigerian B2B eCommerce startup making waves in the fast-moving consumer goods (FMCG) sector, has acquired Traction Apps, a fintech company that provides payment solutions for small businesses. This acquisition, for an undisclosed amount, will boost OmniRetail’s existing payment platform, OmniPay, and further solidify its position as a comprehensive solution provider for retailers and SMEs in Nigeria.
Traction Apps, founded in 2020 by ex-McKinsey consultants Mayowa Alli and Dolapo Adejuyigbe, has rapidly grown to serve over 100,000 merchants across Nigeria. The company offers a suite of tools, including point-of-sale (POS) systems, payment processing, and retail management software, empowering small businesses to digitise their operations and improve efficiency. Notably, in 2023, Traction Apps secured $6 million in seed funding from prominent investors like Ventures Platform, Multiply Partners, and P1 Ventures, demonstrating its potential and attracting attention in the fintech space.
This acquisition is a natural progression for OmniRetail, which launched OmniPay in 2020 to streamline payment processes for its B2B customers. By integrating Traction Apps’ POS solution into OmniPay, OmniRetail will create a more robust and comprehensive payment platform, offering enhanced functionality and a wider range of services to its growing customer base.
“This acquisition is a testament to the synergies we’ve built with Traction. What started as a partnership to integrate Traction’s POS into OmniPay for card payments has grown into a full merger,” said Deepankar Rustagi, CEO of OmniRetail. “Together, we will simplify payments, credit access, and loyalty solutions for retailers and SMEs, helping them thrive in an increasingly digital market.”
This move aligns with OmniRetail’s broader strategy of expanding its offerings and reach. In August 2024, the company appointed Steve Dakayi, a former Jumia executive, to lead its expansion into Francophone Africa, specifically targeting Ivory Coast, Cameroon, and Senegal. This strategic push into new markets demonstrates OmniRetail’s ambition to become a pan-African leader in the B2B eCommerce space.
The acquisition of Traction Apps not only strengthens OmniRetail’s payment solutions but also brings valuable talent to the team. Traction’s founders, Mayowa Alli and Dolapo Adejuyigbe, will join OmniRetail as Director of Technology for Payments and Director of Operations for Payments, respectively. Their expertise and experience will be invaluable in driving the integration process and further developing OmniPay’s capabilities.
The integration of Traction’s POS solution into OmniPay will be implemented in phases, with full integration expected by the end of Q1 2025. This acquisition marks a significant step for OmniRetail, enhancing its value proposition, expanding its market reach, and solidifying its position as a key player in the African B2B eCommerce landscape.
