In a bold move to reshape Africa’s informal retail sector, Wasoko and MaxAB have appointed ex-Cruise CTO, Elshenawy, to lead their AI-driven initiatives aimed at revolutionizing pricing, inventory management, and logistics. Elshenawy’s expertise will be directed towards developing AI-powered tools to enhance operational efficiency for small retailers across the continent.
Speaking on his new role, Elshenawy expressed his enthusiasm for the venture, saying, “As an Egyptian-American, I feel a profound connection to this mission and the platform’s potential—not only to drive transformative impact within Africa but also to establish a powerful presence on the global stage.”
The two companies, which announced their merger earlier this year, outlined plans to move beyond traditional eCommerce in a conversation with TechCabal. Leveraging Elshenawy’s technical background, Wasoko and MaxAB aim to launch a “super app” tailored to informal retailers. This platform will offer services like mobile top-ups, e-payments, and credit access, providing essential digital tools to the underrepresented sector.
The merger comes after a turbulent few years. MaxAB secured $40 million in pre-Series B funding in 2022, while Wasoko, once valued at $625 million, saw its valuation dip to $260 million in 2023 due to a slowdown in sales. The August 2024 merger has since bolstered the companies’ standing, with VNV Global, holding a 2.4% stake, now valuing the combined entity at over $500 million. The improved valuation underlines the significant market opportunity Wasoko and MaxAB seek to capture within the estimated $2 trillion informal retail sector across Africa and the Middle East.
With over $230 million raised collectively, Wasoko and MaxAB benefit from a robust network of investors eager to support their expansion plans. The partnership also aligns with a growing demand for AI and machine learning in African retail, as Wasoko and MaxAB aim to redefine how small businesses access essential goods, financial services, and digital infrastructure across the continent.
