Kinnevik sells stake in Rocket Internet: Implications for Jumia & Konga?

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Kinnevik has finally sold its remaining 6.6% stake in Rocket Internet. This ‘sharevorce’ is a major development that we need to keep an eye on.

Kinnevik has been known as a long time partner/adversary of Rocket Internet.

By chance and design, these two companies own serious stake in Konga and Jumia respectively.

These companies are now competitors by design and might make some moves in Nigeria. As it stands, Kinnevik and its co-investor in Konga, Naspers have been mute about any funding round after the USD65 million raised in 2014.

Jumia is also trying to cut cost to break even as soon as possible (no one knows when). There are many questions in the air?

Will there be an exit from Kinnevik, Rocket Internet or Naspers?

Any possibility of merger or acquisition?

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In Nairaland-speak… let me park here…

Speculations abound, but perhaps it’s just a redeployment of cash?

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Actually these companies ‘quarreled’ on valuation methods. When Rocket Internet was not bulging, Kinnevik decided to back out.

As per Nigeria, one of the two might be moving cash as well… anytime soon.

Let’s keep watching.