Autocheck, the automotive technology company facilitating auto financing across Africa in an agreement with Ringier One Africa Media (ROAM Africa) has acquired Cheki – an automotive marketplace in Kenya and Uganda to expand its Africa’s operations.
The deals will be finalised within the following weeks and 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.
“The acquisition of Cheki Kenya and Uganda is an important milestone for us, and we are excited to be working with ROAM Africa once again, building on their achievements over the past years,” said Etop Ikpe, founder and CEO of Autochek in a statement.
“ROAM Africa has an unrivalled track record of operating and scaling some of Sub-Saharan Africa’s most innovative classified marketplaces and we look forward to leveraging on this solid business foundation,” he 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,” he added.
He stated that Autochek has been a long-time admirer and collaborator of the Cheki brand, noting that following the acquisition news, the organisation intends to provide even more trust and transparency in East Africa’s automotive sector, while leveraging the unique networks they are now joining together.
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 preserve and eases vehicle ownership experience across Africa.
The acquisition of East Africa’s leading 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.
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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.
“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,” said Clemens Weitz, CEO of ROAM Africa.
“Our Cheki team has built a unique, market-leading brand and a truly remarkable business. Most importantly I want to thank everyone in the team who contributed to this success. Now we are excited to see that taken to the next level. Whilst this is good news for everyone directly involved, the ultimate benefactor will be African car buyers and sellers,” Weitz said.
“For ROAM Africa, this deal is more than a very good transaction: It unleashes even more focus on the strategic playbook for our core businesses. We have a clear strategy that will further strengthen our leading marketplaces and invest in innovative product solutions,” he further said.
He noted that the opportunity is now bigger than ever, as the pandemic has vastly accelerated digitization across the continent.
“In the last two years, our businesses recorded unprecedented growth. Thus, our commitment to connect Africans to opportunities remains strong.”
With credit penetration in Kenya at 27.5percent, significantly higher than the West African market which stands at 5percent, East Africa’s growing market is positioned as a key auto financing hub and Autochek is now strategically positioned to scale as it becomes a pan-African player.
