Digital car sales company Autocheck has acquired Morocco KIFAL Auto for an undisclosed amount marking the entry of the North African vehicle market.
The deal comes just a year after Autochek bought Cheki Kenya and Cheki Uganda from Ringier One Africa Media. Prior to the September 2021 deal, Autochek bought Cheki’s subsidiaries in Ghana and Nigeria and partnered with the CFAO Group to launch the network in Côte d’Ivoire. Since the acquisition of KIFAL Auto, Autochek is now present in six countries in East, West and North Africa.
Like Autochek, KIFAL Auto connects car buyers and sellers and, through partnerships, offers several other services, including financing and insurance.
“Since my first interaction with Nizar and his team at KIFAL Auto, I have been so impressed by their passion for providing effective solutions and their commitment to innovation. They have built an excellent platform and we are excited to have them on board at Autochek to support the work we are doing to improve the value proposition of car finance in Africa. There are so many parallels in our individual stories, and I look forward to a long and mutually beneficial relationship for years to come, “said Autochek co-founder and CEO Etop Ikpe in a statement.
KIFAL, founded in 2019 by Nizar Abdallaoui Maane, is one of the leading car markets in Morocco, one of the largest used and new car markets in Africa. Following the latest deal, Maane and KIFAL’s automotive team joined Autochek to lead the company’s expansion efforts in North Africa.
“I have long been a fan of the work that Autochek has done to improve the car value chain in Africa. We can learn so much from each other and I look forward to offering my experience and expertise to provide more innovations that change the game in Morocco and beyond. In our industry, and especially in the African context, it makes a lot of sense to continue to grow with a big player. “Morocco is a gateway to North Africa and I am convinced that we can unlock new value and stimulate further transformation throughout the country,” Maane said.
Autochek says it has 1,500 dealers as partners in its markets and has partnerships with more than 70 financial partners, including Access Bank, Ecobank, UBA, Bank of Africa and NCBA Bank.
The cars listed on the site go through various stages of inspection and are evaluated according to their status and performance. Ekpe said in a previous interview with TechCrunch that “Estimates and some algorithmic checks of the Autochek system help to give an idea of the status and condition of the car, determining whether it is eligible for funding… because they (the banks) do not I want a situation where they finance a car and the next day the engine knocks. ”
Autochek said the loans are approved in about 48 hours. The company earns by charging a fee to dealers registered on its platforms, in addition to a commission to facilitate the loan from banks.
Autochek, which raised $ 13.1 million in the starting round last October, is backed by a number of investors, including pan-African venture capital companies TLcom Capital, 4DX Ventures, Golden Palm Investments, Enza Capital, Lateral Capital, ASK Capital and Mobility 54 Investment SAS, the venture capital division of Toyota Tsusho and the CFAO Group.
Autochek expands to North Africa after acquiring Morocco’s Kifal Auto