Breaking: OLX buys out competitor in Nigeria & Shuts it down

Mergers, Acquisitions and Financial Results

OLX Nigeria Naspers’ backed general classifieds listings site  OLX, has acquired Shibsted’s TradeStable and shut it down redirecting all new visitors to its OLX Nigeria website with immediate effect.

This is not a shocker but has been in the pipeline for a quite a while now. We just did not expect this to happen so fast like this. Apart from TradeStable.com.ng, Shibsted also runs Hadihiya.com in Algeria, olli.com in Egypt, Bikhir.ma in Morocco and Tayara.tn in Tunisia.

In November 2014, Naspers the operators of OLX, Schibsted the parent firm of TradeStable in Nigeria, Telenor and Singapore Press Holdings (SPH) announced they would set up JV in Brazil, Indonesia, Thailand and Bangladesh. The JV was expected to help reduce competition, make it faster and easier for people to trade and as well help the firm to cut costs, expertise and help build awareness online classifieds to consumers easily.

The firm’s anounced no such thing about Africa that’s why it has caught us by suprise but the merger itself was concluded in January this year.“Schibsted, our existing partners and Naspers have all been at the forefront in developing high quality, online market places for consumers wanting to buy and sell in a number of emerging markets. By joining forces, we will be able to further develop these market places even more efficiently” said Rolv Erik Ryssdal, CEO of Schibsted Media Group at the time.

Expect to see more such partnerships in countries where both OLX and Schibsted are present either in Africa or wherever. It might be OLX giving up to join Schibsted or Schibsted joining OLX andit shouldnt worry you as it was announced earlier and is organized and structured well.

Source: Techmoran 20 March 2015