Business

Zinox Acquires E-commerce Giant, Konga Online Shopping

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Zinox Acquires E-commerce Giant, Konga Online Shopping

Nigeria’s integrated Information Communication Technology solutions conglomerate, Zinox Telechnologies Group has concluded the acquisition of the country’s major online shopping platform, Konga.

According to a report by ThisDay, industry news has it that the transaction had been approved by the Securities and Exchange Commission (SEC). It was learnt that the acquisition has been viewed as a major development that could see e-commerce in Nigeria finally unlock the massive revenue potential in the global multi-billion dollar industry. It was also disclosed that conclusion of the deal will see Zinox return to the online shopping industry which it pioneered in Nigeria with the launch of BuyRight African, which was challenged by the absence of credit card and e-payment channeels when it was launched in 2006.

Confirming the deal, the Head of Corporate Communications of Zinox Group, Mr Gideon Ayogu, added that the deal will also see to the total take over of all the segment of kona.com which includes; KOS-Express, the logistics arm of the business and KongaPay, the company’s integrated mobile money payment portal with several thousands of subscribers.

The acquisition is coming at a time competition is rife between Konga and Yudala, which is owned by the son of Zinox Group Chairman, Mr Leo Stan EKeh. Some analysts have predicted that the acquisition may see to the integration of the two e-commerce platforms thereby making it one of the biggest company in the industry in Africa.

Ayogu added that the acquisition will create employment opportunities for about 750 Nigerians, including some of the staff of Konga who were recently laid off.

He said, ““We have always had an interest in Konga and another big one you know very well but our priority was Konga first because of her integrated nature of four quality companies in one.

“Konga is a world-class, professionally-run company whose landmark strides in the sector has gone a long way in ushering millions of Nigerians into the ease and convenience of online shopping and boosting the conduct of e-commerce in the country.”

He added: “Today, many Nigerians can attribute their first experience of e-commerce to Konga.com and we are excited to be a part of this remarkable story.

“Many shoppers can also attest to the speed and efficiency in delivery that characterizes Kos-Express, the company’s logistics arm, which is arguably the best in the sector at the moment.

“Our ambition is to up the tempo by revolutionising e-commerce on the African continent, with Konga at the fore-front of this initiative. In addition to positioning the business on a path of profitability in the short term, our long term plans are focused around seeing Konga well established in other African capitals.

“Furthermore, we will be unveiling a lot of new initiatives soon and we advise shoppers and merchants alike to look out for these innovations which will radically reshape the average customer experience of e-commerce in Nigeria and on the continent.”

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