About ten months after Autochek expanded into North Africa through the acquisition of Morroco's KIFAL Auto, the mobility company has acquired majority stake in AutoTager, an Egyptian automotive technology company that makes it easier to find and buy cars.
This move intends to deepen Autochek's presence in North Africa. "There are many parallels between Autochek and AutoTager, and we are looking forward to building on these parallels to deliver more growth and success in the months and years to come," Olajide Adamolekun, Group CFO and co-founder of Autochek, said in a statement shared with Benjamindada.com.
Founded in 2021 by Amr Rezk, AutoTager is a venture backed startup that is removing the friction from the car buying and selling process in Egypt, enabling easier access to vetted vehicles and financing for consumers, and connecting dealers with serious buyers and technology solutions to improve their operations.
Prior to founding AutoTager, Amr co-founded other companies including Fundseer, a leading private equity GP/LP coordination platform and he has a track record of operating and investing across Africa and the Middle East. He has worked with several large institutions including Goldman Sachs, EFG-Hermes and the Qatar Investment Authority where he led the Private Equity and Venture Capital Funds Investments Team. He has an academic background as an economist and holds an MBA from Harvard Business School.
Amr's competence and experience seems to be a major driving factor for this acquisition. According to Adamolekun, "Amr's background and track record is as impressive as it gets and I am delighted to have him on board. His experience will be invaluable as we enter the Egyptian market and continue on our mission to improve the automotive finance value proposition on the continent and catalyse more growth across the automotive ecosystem."
"We are thrilled to partner with Autochek to pursue several sizable and unique opportunities in the automotive space," Amr said. He added that "Autochek's track record of concurrently operating various business models in the automotive space is stellar and provides us with a wide menu of options and cutting-edge tools to offer AutoTager's customers a truly unique proposition."
Minting car owners across Africa
While AutoTager's acquisition represents Autochek entry into the Egyptian market, its North African expansion journey started last year after it acquired Morroco-based KIFAL Auto, as I stated earlier.
KIFAL Auto CEO defined Morocco is a gateway into North Africa, considering that it is one of the most developed automotive markets in Africa, with more than 180,000 new cars and around 560,000 used cars sold annually.
The latest acquisition will enable the company to double down its efforts in the region and the rest of the continent. "We have very exciting plans and are confident that the global OEM and financing partnerships that Autochek has secured will also provide us with differentiated access allowing us to lead in our space while targeting high quality top decile returns," Amr Rezk, CEO and Founder of AutoTager, adds.
Meanwhile, its Autochek's seventh acquisition since its launch in 2020—the company previously acquired Cheki Nigeria, Cheki Ghana, Cheki Kenya, Cheki Uganda, CoinAfrique and KIFAL Auto.
The company now has active operations in nine countries across East, West and North Africa, with a partner-led footprint of more than 2,000 dealers and workshop locations. Autochek has also raised at least $16.5 million in venture funding since it commenced operations, according to BD Funding Tracker.