Jumia Technologies AG has secured $50 million in fresh capital through a fundraising round anchored by a $25 million investment from the International Finance Corporation (IFC), strengthening the African e-commerce company’s balance sheet as it pursues profitability.
The company announced the capital raise alongside its second-quarter 2026 financial results on Wednesday.
The fundraising, priced on August 11, includes participation from Axian, one of Jumia’s largest shareholders, alongside other investors.
Under the agreement, investors will acquire 9.1 million American Depositary Shares (ADSs) at $5.52 per share, generating expected gross proceeds of $50 million. The transaction is expected to close in the second half of August, subject to customary conditions.
Jumia said the funds will support the next phase of its growth strategy, improve operational efficiency across its core African markets and strengthen its integrated marketplace and logistics network.
Chief Executive Officer Francis Dufay said the investment reinforces the company’s path toward profitability.
“The agreed investment anchored by the International Finance Corporation, a member of the World Bank Group, and joined by current leading shareholders and selected new investors, will strengthen our balance sheet as we execute against that plan,” Dufay said.
“We continue to see ourselves firmly on track toward our target of achieving Adjusted EBITDA breakeven and positive cash flow in the fourth quarter of 2026, and full-year profitability on an Adjusted EBITDA basis and positive cash flow in 2027,” he added.
Jumia reported second-quarter revenue of $52 million, representing a 14% year-on-year increase, or 15% on a constant currency basis.
The growth was driven by stronger transaction volumes, although revenue expansion was partly moderated by a higher share of third-party marketplace sales, which generate commission income instead of recognising the full value of merchandise sold.
Commenting on the results, Dufay said the company’s operating model continued to demonstrate resilience despite challenging market conditions.
“Despite real headwinds—including supply disruptions in phones and electronics, rising fuel costs, and a demand slowdown in Ivory Coast tied to cocoa prices—GMV and physical goods orders, each adjusted for perimeter effects, grew 23% and 28%, respectively, year-over-year, while our Adjusted EBITDA loss narrowed by 36% to $8.7 million,” he said.
He added that gross profit increased by 28% year-on-year, reflecting continued improvements in marketplace monetisation, while the company maintained discipline by prioritising margins and profitability over aggressive growth in gross merchandise value.
