Jumia has a new ally. AXIAN Telecom, a fast-growing Pan-African telco group, has acquired an 8 percent stake in the once-hyped but recently embattled e-commerce giant. On the surface, it’s a smart financial play. But beneath it lies something deeper—a strategic alignment that could reshape both companies and reignite Africa’s digital commerce race.
The investment, disclosed through a U.S. Securities and Exchange Commission filing, could mark a new chapter in Jumia’s long and turbulent story. Once dubbed “Africa’s Amazon,” the company has spent the last two years slimming down, recalibrating, and shedding markets in a bid to survive. Now, with a telecom partner that brings infrastructure, customer data, and cross-sector influence, Jumia may finally be able to pivot from survival to resurgence.
Betting on a Comeback
This is not just a stake. It’s a vote of confidence. AXIAN is not your typical passive investor. With operations in nine countries across Africa, and ambitious plans for fintech and digital growth through its Yas and Mixx brands, AXIAN has its eyes on synergy.
Jumia offers three things AXIAN needs. Digital infrastructure. Consumer trust. And reach. JumiaPay, in particular, stands out. As mobile operators across the continent seek to deepen financial inclusion, Jumia’s embedded wallet and checkout platform could become a springboard for broader fintech plays.
For Jumia, the timing is critical. Its first quarter numbers in 2025 painted a challenging picture. Revenue dropped by over 26 percent year-on-year. Operating losses more than doubled. Yet somehow, there’s still a heartbeat. The company managed to reduce its pre-tax loss by more than half, thanks in part to lower finance costs and foreign exchange relief in markets like Nigeria and Egypt.
This signals that the cuts, exits, and consolidation efforts under CEO Francis Dufay are starting to bear fruit. Jumia has pulled out of markets like South Africa and Tunisia. It is focusing its firepower on high-performing hubs like Nigeria, Kenya, Morocco, and Egypt. And now, with AXIAN’s support, it might finally have the fuel to stabilize and grow.
The Telecoms-Ecommerce Convergence
This is not the first time telecom operators have eyed the digital commerce space. Safaricom’s success with M-Pesa in Kenya showed that telcos can be powerful platforms for payments and digital services. MTN and Airtel have followed with mobile money offerings of their own, and Orange has invested heavily in cross-sector digital innovation.
AXIAN’s investment in Jumia fits into this broader trend. It reflects the understanding that telecoms can no longer be just about voice and data. They must be ecosystems. And in that ecosystem, commerce plays a vital role.
Imagine a scenario where a user pays for goods on Jumia using a Yas-powered wallet. Or receives delivery updates through SMS from AXIAN’s network. Or signs up for bundled services that combine airtime, mobile money, and e-commerce perks.
This convergence could unlock scale efficiencies and customer loyalty at a level neither company could achieve alone.
But Is It Enough?
The big question is whether this partnership can meaningfully shift the odds in Jumia’s favor. The company is no longer fighting for market leadership. It is fighting to stay relevant.
Global challengers like Temu and Shein are expanding aggressively, offering fast, cheap deliveries and deeply discounted goods. Local competitors are gaining ground with leaner models and better localization. Consumer spending remains under pressure across the continent. Logistics costs are high. Internet access, though improving, is still uneven.
In this context, AXIAN’s backing is a lifeline—but not a silver bullet.
What matters now is execution. Can Jumia use the partnership to build better logistics, improve customer service, and reduce operating inefficiencies? Can it relaunch JumiaPay as a viable digital wallet and not just a checkout tool? Can it innovate in product selection and supply chain to compete with the deep pockets and ruthless pricing of global players?
Final Thought
AXIAN’s 8 percent acquisition in Jumia is more than a financial move. It is a strategic alignment between two entities trying to define the next phase of Africa’s digital future.
It is telecom meeting commerce. Infrastructure meeting interface. Scale meeting specialization.
But can this be the spark that reignites Jumia’s momentum? Or will it be another chapter in the company’s long struggle to prove that Africa is ready for a homegrown e-commerce powerhouse?
Can telecoms become the new backbone of digital retail? Can Jumia bounce back in a market that has evolved while it downsized?
And ultimately—can partnerships like this rewrite the rules of digital business in Africa, or is the clock still ticking for Jumia?
