Tag: Jumia

Are all IPOs Created Equal? Jumia called a Fraud. Citron Exposes the Smoking Gun Equity is Worthless

Are all IPOs Created Equal? Jumia called a Fraud. Citron Exposes the Smoking Gun Equity is Worthless

Business, Internet, Startups, Technology
Andrew Left, Founder of Citron Research, has released a report stating that they have a "smoking gun" which proves that JUMIA is a fraud and that the stock is worthless. JUMIA shares, at the time of publishing, were down 20% on the day on the New York Stock Exchange (NYSE).The e-commerce company which operates across several African markets and is popularly (or infamously, depending who you ask) known as the "Amazon of Africa", listed on the NYSE earlier in 2019 to much fanfare and a $1 billion valuation."In order to raise more money from investors, JUMIA inflated its active consumers and active merchants figures by 20-30% (FRAUD). The most disturbing disclosure that JUMIA removed from its F-1 filing was that 41% of orders were returned, not delivered, or cancelled. This was previously dis...
Jumia might be on the verge of a collapse, MTN not selling stake share

Jumia might be on the verge of a collapse, MTN not selling stake share

Business, Startups, Technology
Venture Beat reports that Jumia, one of Nigeria’s largest online retailers has allegedly laid off 300 of its workers in Nigeria, which accounts for about 30% of its 1000-person workforce in Nigeria. This has raised concerns as to whether the end is near for the online retailer and what this could mean for the Rocket-funded e-commerce outfit. The major investor in Jumia, Rocket internet has a reputation for downsizing. In a similar event, Rocket Internet closed some of its offices in Turkey  in 2012, firing 400 workers in the process. While a similar event may be playing out in Nigeria, Kaymu (another Rocket Internet portfolio company) closed its Zambia office. Citing “macroeconomic reasons,” the online shopping platform shut down its operations in Zambia at the beginning of the month.
Jumia plunges into Sh14 billion loss

Jumia plunges into Sh14 billion loss

Business
E-commerce company Jumia has sunk deeper in the red, posting a Sh14.9 billion loss before tax and other costs in the year ended December compared to Sh11.3 billion a year earlier. The loss does not give an indication of the company’s bottom-line as it excludes most of the standard business expenses including finance costs, depreciation and stock-based compensation. The company, which operates in 23 African countries including Kenya, blamed the loss on increased investment in the business. Jumia’s sales grew 41.8 per cent to Sh62.95 billion on the back of higher customer numbers.  Its total number of orders grew 63.3 per cent to 8.3 million while the customer base increased 46.7 per cent to 2.2 million users. The company increased its capital
Jumia gives up its Amazon model in Rwanda, goes all out into C2C classifieds

Jumia gives up its Amazon model in Rwanda, goes all out into C2C classifieds

Business
Rocket Internet-backed Jumia Rwanda, an online shopping site has ditched its business to consumer (B2C) online retail and later its ‘Amazon’ model in Rwanda for a pure consumer to consumer (C2C) classifieds site. The firm gave up the e-tail model a few months back and instead of closing shop totally it decided to trade as a pure marketplace like general classifieds site OLX to connect more buyers and sellers in the country. Those other classifieds sites like Jumia House are still online. One advantage with running a classifieds site is that the firm will not spend much time and money vetting traders to use its platform. Though classifieds platforms attract fraudsters, the urban Rwanda community is not new to these and therefore Jumia might not struggle finding sellers and buyers.
Jumia Black Friday promotes e-Commerce in Africa

Jumia Black Friday promotes e-Commerce in Africa

Business, Internet
The Christmas offer starts early in Kenya. Jumia, a Nigerian based online retailer is the leader of the new class of e-commerce business in Africa. With the Jumia black Friday trending, Kenyans are in the rush to get products from the online stores at the low costs. The Jumia black Friday is an indicator that technology in Africa has advanced as most of the items on sale are electrical appliances and mobile phones. With the device prices low, more people are expected to get connected via mobile phones to access the online stores boosting the mobile phone usage in the country and Africa at large. In addition, Black Friday is a period selected by sellers to appreciate its customers with giveaways at discounted prices. The Jumia black Friday 2016 sale in Kenya started on the 14th of...