Moroccan B2B e-commerce and retail startup Chari has acquired Axa Credit, the credit branch of Axa Assurance Maroc, for $22 million.
The acquisition now offers Chari the credit license required to start offering loans to its FMCG B2B clients who can then lend money to their consumer clients. It also allows Axa Credit to operate independently from the parent owners Axa Assurance who are leaving the Moroccan market.
Chari digitizes the largely fragmented FMCG sector in parts of French-speaking Africa, particularly Morocco and Tunisia.
It operates a mobile app that connects small retailers in these two countries to FMCG multinationals and local manufacturers, allowing them to order and get products in less than 24 hours.
In October 2021, Chari acquired Karny.ma, a Moroccan ledger book with over 50,000 active users. Karny, a tool that records money movement in and out of a business helps Chari to assess the creditworthiness of the unbanked merchants and select the most appropriate payment arrangements for them.
Chari’s acquisition of Axa Credit is still subject to approval from the Moroccan banking, insurance, and antitrust authorities.