Autochek, a leading auto marketplace group in Africa has announced the acquisition of East Africa-based auto verticals Cheki Kenya and Cheki Uganda from Ringier One Africa Media (ROAM Africa). The financial details of the deal were not disclosed.
This move by Autochek would see it establish itself across four major markets in Africa’s rapidly growing automotive industry following the company’s acquisition of Cheki Nigeria and Cheki Ghana a year ago when it launched.
“We are excited to be working with ROAM Africa once again, building on their achievements over the past years. Autochek’s mandate is to accelerate the ability of African consumers to access better, quality and affordable vehicles by providing access to financing, while also de-risking the auto lending process for financial institutions. We intend to provide even more trust and transparency in East Africa’s automotive sector, leveraging the unique networks we’re now joining together,” Etop Ikpe, Founder and CEO of Autochek said on the acquisition.
Cheki Kenya had been a crown jewel in the Roam portfolio and it’s best performing auto vertical. Cheki Uganda is a much lesser sister site. In its 10 years of operation, Cheki Kenya built a network of thousands of dealers, listed more than 12,000 additional vehicles monthly, and recorded 700,000 monthly unique users on its platform with an 80% plus year-on-year growth in the last two years.
This, in addition to a 27.5% credit penetration in Kenya, a significantly higher number than the West African market average, which stands at 5%, means East Africa’s growing automotive market is well-positioned as a key auto financing hub which Autochek is ready to leverage to increase the adoption of auto financing on the continent.
The deal will be finalized in the following weeks with part of the agreement being that Roam Africa transfers full ownership and operational control to Autochek to integrate Cheki Kenya and Uganda.
Autochek was founded in 2020 by Etop Ikpe, former CEOs of Olx Autos’ Cars45 and Ringier Africa-owned coupon site DealDey. as an automotive technology company backed by, TLcom Capital and 4DX Ventures.