OmniRetail, the fast-rising Nigerian B2B commerce startup redefining how informal retail supply chains operate in West Africa, has closed a $20 million Series A round to expand its operations across Nigeria, Ghana, and Côte d’Ivoire and scale its embedded finance solutions.
The funding round was co-led by Norfund, Norway’s development finance institution, and Timon Capital, a Lagos-based VC firm. Existing backers like Ventures Platform, Aruwa Capital, Goodwell Investments (via Alitheia Capital), and Flour Mills of Nigeria also participated.
Founded in 2019 by Deepankar Rustagi, OmniRetail has now raised $38 million in equity and debt, solidifying its position as a crucial player in the informal retail digitisation race.
A Profitable Outlier in Africa’s B2B Tech Landscape
In an era where many B2B commerce startups have struggled to achieve sustainable scale, OmniRetail stands out. While others chased aggressive growth during the 2020–2021 investment boom and faltered due to high logistics costs and operational inefficiencies, OmniRetail went the other way, choosing an asset-light, tech-driven model focused on unit economics.
That strategy is paying off. The startup hit EBITDA profitability in 2023 and reached net profitability in 2024, processing over ₦1.3 trillion ($810 million) in transactions last year alone. Revenues are also up, with a 40% year-over-year increase.
Embedded Finance as a Catalyst for Growth
OmniRetail is more than just a digital ordering platform. It’s evolving into a financial infrastructure provider for the informal economy. Through its BNPL product, Omnipay, the company disburses about ₦19 billion ($12 million) monthly in inventory credit, boasting a near-zero default rate.
In 2024, OmniRetail also acquired Traction Apps, a merchant-focused POS and payments company. This move gives it access to granular sales data from informal retailers, which in turn improves credit scoring, risk assessment, and product offerings.
From Aggregator to Ecosystem Enabler
What makes OmniRetail particularly compelling is its strategy of building a “network of networks.” Instead of displacing traditional distributors and logistics providers, the company integrates and empowers them via its platform, creating shared value. This mirrors successful models seen in markets like India and Egypt.
Today, the company connects:
- Over 150,000 informal retailers
- 5,800 distributors
- 145 manufacturers
- In 12 West African cities
With a logistics network powered by 1,100+ third-party vehicles and 85 logistics partners, OmniRetail is executing on scale with lean infrastructure.
What’s Next for OmniRetail?
OmniRetail is gearing up to deepen its reach into FMCG verticals such as personal care, home care, and cold storage. Strategic acquisitions, debt financing, and richer data infrastructure will support these next growth phases.
For investors like Norfund, OmniRetail is a transformative force. “Embedded finance is one of the most powerful tools for small business growth in Africa,” said Cathrine Conradi, Investor Director at Norfund. Timon Capital, an early believer, sees this Series A as a “clear inflexion point” where distribution, payments, and credit infrastructure converge profitably.
