OmniRetail has acquired Traction Apps, a payment solutions provider to enhance financial services and trade solutions for small and medium-sized enterprises (SMEs).
The combined entity will now process over N2 trillion and facilitate loans worth N200 billion annually while servicing 160,000 customers across wholesale and retail sectors, positioning itself as a leader in the FMCG space.
OmniRetail, known to address challenges faced by SMEs in the FMCG space since 2019, launched OmniPay in 2022—a seamless payments platform that integrates with 13 financial service providers, enabling smooth collections and supplier payments. OmniPay uses transaction data to build creditworthiness scores, empowering underserved retailers with the capital needed for growth.
Deepankar, CEO of OmniRetail, noted, “This acquisition is a testament to the synergies we’ve built with Traction. What started as a partnership to integrate Traction’s POS into OmniPay for card payments has grown into a full merger. Together, we will simplify payments, credit access, and loyalty solutions for retailers and SMEs, helping them thrive in an increasingly digital market.”
Traction Apps, on the other hand, has grown to serve over 100,000 merchants by offering a one-stop platform that includes payment acceptance, lending, and retail software solutions. This acquisition will allow Omni to integrate Traction’s merchant POS services into OmniPay’s existing ecosystem, creating an enhanced retail financial platform.
Mayowa Alli, co-founder at Traction, added, “This integration will allow us to scale our solutions and accelerate our vision of simplifying payments at the retail level. OmniRetail’s ecosystem will enable us to bring our innovative solutions to a wider audience, benefiting even more small businesses across Nigeria and beyond.”
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Traction noted that its focus has been on empowering small businesses to grow and thrive. it added that the acquisition supports OmniRetail’s overarching mission to bridge the gap between retailers and financial services, offering a unified platform that enhances access to financial resources and improves operational efficiency.
Traction’s services complement OmniPay’s existing offerings, creating a holistic solution for SMEs in the FMCG space. The combined platform will strengthen differentiation from other fintech players, improve customer satisfaction, and enhance service delivery.
Dotun Olowoporoku, partner at Venture Platform, said, “We believe in leveraging the strengths of our portfolio companies to create more robust solutions. This acquisition is a major step forward in building more comprehensive offerings for African SMEs.”
The acquisition will proceed in phases starting with integrating the Omnipay and Traction teams and then focusing on platform integration. The full integration of Traction with OmniPay will be completed by the end of Q1 2025, with enhanced services rolling out to customers shortly thereafter.
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