OmniRetail, a leading unified consumer goods distribution platform, has announced the acquisition of Traction Apps, a Nigerian-based merchant solution provider that raised $6 million in funding last year. This merger marks a significant step forward in the fast-moving consumer goods (FMCG) sector, where the combined entity will now process approximately ₦2 trillion in transactions and facilitate loans worth ₦200 billion annually. With over 180,000 customers across the wholesale and retail sectors, the acquisition solidifies OmniRetail’s position as a dominant player in the Nigerian FMCG space.
The acquisition will enable OmniRetail to integrate Traction’s point-of-sale (POS) merchant services into OmniPay, OmniRetail’s payment platform launched in 2022. This enhanced financial ecosystem will provide retailers with seamless payment, credit access, and loyalty solutions, empowering small and medium-sized enterprises (SMEs) to thrive in a rapidly digitizing market.
“This acquisition is a testament to the synergies we’ve built with Traction. What started as a partnership to integrate Traction’s POS services into OmniPay for card payments has grown into a full merger,” said Deepankar Rustagi, CEO of OmniRetail. “Together, we will simplify payments, credit access, and loyalty solutions for retailers and SMEs, helping them navigate the challenges of an increasingly digital economy.”
OmniRetail, launched in 2019, has been recognized for its rapid growth and innovation. In 2024, the Financial Times named it Africa’s Fastest Growing Company. In 2022, OmniRetail introduced OmniPay, which integrates with 13 financial institutions, streamlining collections and supplier payments for retailers. That same year, OmniRetail recorded revenues of $139 million. By leveraging transaction data to assess creditworthiness, OmniPay has enabled underserved retailers to access the capital they need for growth significantly.
“Building Traction has always been about empowering small businesses to grow and thrive,” said Dolapo Adejuyigbe, co-founder of Traction Apps. “Now, as part of OmniRetail, we will become the leading growth partner for SMEs across Nigeria, offering a more comprehensive platform than ever before.”
Founded in 2020 by Mayowa Alli and Dolapo Adejuyigbe, Traction Apps has rapidly grown to serve over 100,000 merchants. The platform offers an all-in-one solution, providing businesses with tools for payment acceptance, lending, and retail software solutions. These services help businesses streamline their operations, enhance their efficiency, and ultimately scale their growth.
Read also: OmniRetail tops Financial Times’ Africa’s fastest-growing companies list.
Furthermore, the integration of Traction into OmniRetail will occur in phases, starting with aligning operations and gradually merging the two platforms. The full integration of Traction with OmniPay is expected to be completed by the end of Q1 2025. As part of the deal, Traction’s investors will also have the opportunity to participate in the future growth of the combined entity.
While the exact financial terms of the acquisition remain undisclosed, Rustagi emphasized the strategic nature of the deal. “By acquiring both debt and equity, we’re not only gaining Traction’s assets but also enabling its investors to share in the growth opportunities ahead,” he explained.
In conclusion, this acquisition positions OmniRetail and Traction as a powerhouse in the Nigerian retail and SME ecosystem, providing small businesses with the tools they need to succeed in a fast-evolving digital economy. The two companies will drive innovation in financial services, helping retailers scale and meet the demands of today’s consumers.
Comments 1