Automotive e-commerce company Autochek has expanded into three new African countries after acquiring CoinAfrique, an advertising marketplace, nearly two months after the Nigerian startup acquired Moroccan auto marketplace KIFAL Auto, marking its foray into North Africa.
car check said it will tick CoinAfrique’s regional customer base in French-speaking Africa to accelerate its car financing services. The classified ads marketplace reportedly attracts 60,000 new ads and 1.5 million visits per month, with the car category accounting for 50% of business transactions on the site.
Autochek is also part of the growing auto market in Africa, the value of which is expected to reach $42 billion over the next five years – a compound annual growth rate of 5.5% over the period 2022-2027.
CoinAfrique, whose team will join the Autochek and help them run operations in the region, was founded in 2016 by Matthias Papet and Eric Genetre.
“We see many opportunities to create value for users across all categories on our platform and expand into new countries, and we look forward to leveraging Autochek’s market-leading credit product and expertise to deliver more transformative experiences for our users said Papet. in a statement.
Following the acquisition, Autochek has already rolled out its operations in Benin, Togo and Senegal, with more markets to be activated as the auto market expands. CoinAfrique advertising marketplace operates in 12 French-speaking markets. Autochek has previously been present in Nigeria, Ghana, Kenya, Ivory Coast, Uganda and Morocco.
In its current markets, Autochek said, it has more than 1,500 dealers as partners and works closely with more than 70 banks, including BNP Paribas, Access Bank, Ecobank, UBA, Bank of Africa and NCBA Bank to provide financing to its customers. offer.
Cars listed on the site go through several stages of inspection and are rated based on their status and performance, factors that are also used to determine eligibility for financing.
Autochek co-founder and CEO Etop Ikpe said in an earlier interview: “The ratings and some algorithmic checks on the Autochek system help to get an idea of the status and condition of the car, to determine if it is in a state is to be financed… because they (banks) don’t want a situation where they finance a car and the next day the engine knocks.”
Autochek said its loans will be approved in about 48 hours. The company earns by charging a fee to dealers listed on its platforms, in addition to a commission for facilitating loans from banks.
The company, which raised $13.1 million in a seed round last October, is backed by a number of investors, including pan-African VC firms TLcom Capital, 4DX Ventures, Golden Palm Investments, Enza Capital, Lateral Capital, ASK Capital and Mobility 54 Investment SAS, the venture capital arm of Toyota Tsusho and CFAO Group.