The new funds will support its expansion plans in Nigeria, Ghana, and Côte d’Ivoire and allow it to strengthen its financial service offerings.

Norfund, a Norwegian development finance institution, and Timon Capital, a Lagos-based venture firm, led the funding round.

Existing investors Ventures Platform, Aruwa Capital, Goodwell Investments (through Alitheia Capital), and Flour Mills of Nigeria also participated.

Founded by Deepankar Rustagi in 2019, OmniRetail has now raised a total of $38 million in equity and debt.

The company operates a platform that connects over 150,000 informal retailers, 5,800 distributors, and 145 manufacturers across 12 cities in West Africa.

Through its app, retailers can order stock, access loans for inventory, and make payments, supported by a logistics network of more than 1,100 vehicles and 85 logistics partners.

Beyond e-commerce, OmniRetail is expanding into financial services. Its Omnipay platform offers buy-now-pay-later (BNPL) services, disbursing around ₦19 billion ($12 million) in credit each month to retailers, maintaining a near-zero default rate.

CEO Deepankar Rustagi attributes the company’s success to its strategy of working with, rather than against, existing players in the informal economy.

Instead of replacing distributors and logistics providers, OmniRetail uses technology to support and connect them—a model similar to successful companies in India and Egypt.

Cathrine Conradi from Norfund emphasized the importance of embedded finance, calling it a major driver for small business growth in Africa.

Timon Capital, which has backed OmniRetail since its early days, said the company has reached a key turning point where distribution, payments, and credit are coming together profitably.