The company said in a statement that the completion of the transaction is subject customary closing conditions, including the closing of the previous investment round, and is expected to take place in the first quarter of 2016.
The additional capital contributed by AXA will further strengthen the balance sheet and support AIG’s continued growth.
As part of the transaction, AXA will become the exclusive provider of custom-made insurance products to Jumia and AIG’s e-commerce client base.
“Internet is creating unparalleled opportunities for consumers and businesses in Africa to connect and do business in a new way. We continue to be very excited about the growth prospects of Jumia and this new partnership will enable us to capture them,” Sacha Poignonnec and Jeremy Hodara, founders and co-CEOs of Jumia and AIG, said in a statement.
“With Rocket Internet’s extensive background in online business models, MTN as leading mobile carrier with its broad African presence, and now the partnership with AXA in insurance products and services, we are in a great position to continue to innovate and connect businesses to the fast growing consumer demand.”
Jumia, AIG’s main subsidiary, is currently present in 11 African markets and grew its transaction volume by 265% during first 9 months of 2015 to reach €206 million (R3.7 billion).
“This transaction confirms AXA’s long-term commitment towards the African markets and represents another step in our development on the continent. Africa is home to some of the most dynamic and promising insurance markets in the world and our partnership with Africa Internet Group will enable us to accelerate materially our development by having access to their rich customer base and to their state-of-the-art e-commerce technology,” Denis Duverne, Deputy CEO of AXA, said in a statement.