•The deal will be finalised within the following weeks, a joint statement to newsrooms notes.
•It will see Cheki Kenya and Uganda’s operations integrate with the wider Autochek operations.
Image: FILE
Autochek, the automotive technology company facilitating auto financing across Africa has acquired online car platforms; Cheki Kenya and Cheki Uganda.
This follows an agreement with ROAM Africa (Ringier One Africa Media) for Autochek to acquire automotive marketplaces of its two entities, as Autochek expands further into the African market.
The deal will be finalised within the following weeks, a joint statement to newsrooms notes.
It will see Cheki Kenya and Uganda’s operations integrate with the wider Autochek operations.
The move comes just one year after Autochek successfully acquired Cheki Nigeria and Ghana as part of its launch in West Africa.
Launched in 2020, and backed by notable investors such as TLcom Capital and 4DX Ventures, Autochek combines technology, underpinned by data analytics to deepen auto finance penetration across the continent.
With a presence in Nigeria and Ghana, the company’s 360-degree automotive solution also provides a strong network of after-sales services that preserves and eases vehicle ownership experience across Africa.
The acquisition of East Africa’s online auto marketplace is the next step for Autochek as it expands its footprint in the region and continues its mission to provide seamless access to auto financing across the continent, management now says.
Building on Cheki’s 10 years of experience, Autochek is set to introduce additional technology solutions that will integrate the auto ecosystem as well as increase market adoption for auto loan financing.
As part of the agreement, ROAM Africa will transfer ownership and operational control to Autochek.
Autochek Founder and CEO Etop Ikpe said:“Autochek’s mandate is to accelerate the ability of African consumers to access better quality and affordable vehicles by providing access to financing, while also derisking the auto lending process for financial institutions."
Founded in 2010, Cheki Kenya has built a network of hundreds of dealers, more than 12,000 vehicles listed monthly and 700,000 monthly unique users on its platform, with 80 per cent plus year-on-year growth in the last two years.
Clemens Weitz, CEO of ROAM Africa, said: “Across the world, we see a new evolution of digital automotive platforms, requiring deep specialization. Specifically in Africa, we believe that Autochek is the one player with the best team and expertise to truly create a game-changing consumer experience."
He has termed the deal as " more than a very good transaction" noting it unleashes even more focus on the strategic playbook for the company's core businesses.
"We have a clear strategy that will further strengthen our leading marketplaces and invest into innovative product solutions. The opportunity is now bigger than ever, since the pandemic has vastly accelerated digitiSation across the continent," Weitz said.
With credit penetration in Kenya at 27.5 per cent , significantly higher than the West African market which stands at five per cent, East Africa’s growing market is positioned as a key auto financing hub.
Autochek is strategically positioned to scale as it becomes a pan-African player, management said.
Meanwhile, ROAM Africa says it remains committed to connecting Africans to opportunities and will focus on strengthening the autonomy of its existing portfolio companies across East and West African countries.
These include Jobberman.com in Nigeria and Ghana, BrighterMonday.co.ke, Brightermonday.co.ug, Expat Dakar.com and BuyRentKenya.com.