South African retailing giant Massmart announced that it is already advancing its negotiations to acquire a controlling stake in online delivery startup OneCart, accelerating its aim to boost its centralized e-commerce capability.
Massmart, which also owns local brands such as Makro, Builder’s Warehouse, CBW and Game retailing chain.
Despite the struggling business of its general merchandise Game stores, Massmart said that its acquisition of the controlling stake in OneCart is “in line with its strategic intent to accelerate growth” in the e-commerce industry.
In the press release, Massmart said its negotiations with OneCart are already “at an advanced stage” and it “hopes to conclude discussions in the coming weeks.”
It also said that the potential acquisition “will allow the company to further expand its capabilities in the fast-growing on-demand delivery segment, while continuing to support the independent retailer marketplace model of OneCart.”
“The proposed acquisition is consistent with Massmart’s strategy to invest in and accelerate eCommerce growth, particularly in the fast-growing on-demand delivery segment,” Massmart Group CEO Mitch Slape said in a statement.
“A key objective going forward would be to invest in aggressively growing and fully supporting OneCart’s existing independent retailer marketplace model that enables consumers to order from multiple retailers via a single platform,” Slapes added.
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