BY TOM JACKSON
Egyptian retail-tech startup MaxAB has acquired Moroccan counterpart WaystoCap as it plots expansion into the Maghreb region after adding US$15 million to the US$40 million Series A round it secured last month.
Founded in 2018 by Egyptian and Libyan entrepreneurs Belal El-Megharbel and Mohamed Ben Halim, MaxAB is a B2B e-commerce platform that connects food and grocery retailers to suppliers in Egypt’s most under-served geographies.
The company serves a network of traditional retailers across Egypt, using empowering technologies and innovative supply chains to help put the correct amount of food and groceries at the right place at the right time. So far it has supplied more than 55,000 retailers, fulfilled more than one million orders, and grown more than 5x year-on-year.
MaxAB secured US$40 million in Series A funding in July, and it has now added another US$15 million to that, taking its total secured funding to date past the US$60 million mark. It has also announced the acquisition of WaystoCap, a Morocco-based B2B e-commerce and distribution platform that connects retailers with suppliers across Africa.
Founded in 2017, WaystoCap was the first Moroccan startup to participate in the Y Combinator accelerator, and since then has become one of the largest and leading B2B platforms in Morocco, with a network of 8,000 retailers and established a presence in West African cities.
The acquisition will see MaxAB accelerate its expansion into the Maghreb market, empowered by WaystoCap’s expertise in the region. The retailers and suppliers served by both companies will now benefit from MaxAB’s technology, expanded end-to-end supply chain solutions and business intelligence tools as well as WaystoCap’s knowledge and expertise. MaxAB’s acquisition will now see more than 70,000 retailers supplied with essential food and groceries across multiple markets.
“We are about to take the food and grocery industry to another level in North Africa. The creation of this new super-team, combining a powerhouse of talent, technological know-how, on the ground infrastructure, boosted supply chains and WaystoCap’s phenomenal experience of the region is very exciting. We have a long-standing and excellent working relationship with WaystoCap and share a common vision to re-engineer the traditional food and grocery market to better serve traditional retailers,” said El-Megharbel.
The Maghreb market is new territory for MaxAB and this new strategic acquisition will position the expanded team to be North Africa’s leading B2B e-commerce platform for retailers and suppliers. Morocco’s growing tech hub offers huge potential and the acquisition of WaystoCap empowers MaxAB to become a truly global team with a targeted local approach, setting the company on track to be the leading B2B retail and grocery platform in the Middle East and Africa.
Niama El Bassunie, chief executive officer (CEO) and founder of WaystoCap, said Morocco was an exciting and fast-growing market with entrepreneurs creating novel solutions for some of the key day-to-day challenges faced in the region.
“We are thrilled to play a pivotal role in the new all-star team being created and led by experienced, innovative entrepreneurs to establish a regional market leader in food and grocery supply. We are looking forward to continuing our close working relationship with our new team and taking the business to its next phase,” she said.