Sky.Garden acquired by Kenya’s Lipa Later to launch rebranded e-commerce ecosystem
For KES250 million (US $1.6 million), Kenyan financial firm Lipa Later purchased online store Sky.Garden, rebranding the platform and adding new services.
By providing e-commerce, financial inclusion, and shopping on a single, centralized, completely integrated platform, Lipa Later was founded in 2018 with the goal of helping African businesses to achieve more. The startup provides working cash, consumer credit, and e-commerce solutions for retailers.
With the purchase and relaunch of Sky.Garden, Lipa has now achieved its goal of expanding its products, having previously stated in September that it had raised KES500 million (US$3.4 million) through a privately-placed debt issuance. The software-as-a-service (SaaS) platform for mobile commerce, Sky.Garden, was introduced in May 2017 and is designed exclusively for African companies.
The firm declared earlier this year that it was ending operations due to running out of runway, but it closed a US $4 million Series A investment round in June 2021. However, a KES250 million (US $1.6 million) acquisition by Lipa Later has given it a respite, revamping and rebranding the Sky.Garden platform to add new features. It hopes to link 100,000 retailers within the upcoming year.
“Sky.Garden is no longer just about e-commerce; it’s about revolutionising the way businesses operate and people shop. Sky.Garden has now become a full-fledged e-commerce ecosystem, far beyond the boundaries of conventional online retail,” the company said.
“The Sky.Garden ecosystem encompasses not only the convenience of online shopping but also the infrastructure for local businesses to thrive. From seamless payment solutions to logistic support, marketing tools, and business insights. Entrepreneurs can build, grow, and expand their ventures within our ecosystem, while shoppers enjoy an unparalleled variety of products, services, and a shopping experience that continually evolves to meet their needs.”
Juliet Wanjiru, head of e-commerce at Sky.Garden, said the deal would see Sky.Garden “embark on a transformative journey to enhance and broaden our offerings for both merchants and customer communities”.
“By introducing innovative products such as Sky.Tickets, Sky.Logistics, Sky.Commerce, and Sky.Wallet, we are diversifying our merchant categories to include a dynamic online marketplace for services and events,” she said.
Specifically, Sky.Wallet will provide customized options that will enable retailers to get funding, track transactions in real time, pay bills directly, make deposits and withdrawals to banks or M-Pesa easily, and even open bank accounts. This provides businesses with all-encompassing financial support and drives all merchant transactions.
According to Eric Muli, CEO of Lipa Later Group, investments will empower customers and enterprises in two ways.
