Mozambican online retailer, Izyshop, mandates HAVAIC
HAVAIC is pleased to announce that it has been mandated by Izyshop SA (“Izyshop” or “the Company”) to advise it ahead of its first capital raising initiative. Izyshop, founded by Titos Munhequete in August 2015, allows Maputo’s residents, businesses and hotels to shop for groceries online. The Company is seeking to raise funding that will enable it to expand its capabilities in terms of product variety and service quality, and so meet increased demand for its services.
The Company was the winner of both Total’s Mozambican entrepreneurship competition where it competed against over 200 companies in 2015, and Slush Global Impact Showcase held in Finland where it competed against 40 companies from around the globe in 2016. Munhequete reports that “a key benefit to the Company of its success in start-up competitions has been its participation in mentoring and training.”
Munhequete is motivated by the desire “to facilitate the transition away from brick-and-mortar shops to online shopping which is safe and convenient.” In developing the Company’s business model, he has striven to develop a solution that works in an emerging market context. One such approach is to integrate tuk-tuk drivers into the Company’s order fulfilment and delivery process, as well as local small and medium size producers into its supply chain. This enables Izyshop to keep its infrastructure light and direct costs low while creating further income generating opportunities for the tuk-tuk drivers and small and medium size producers.
HAVAIC’s principals pursue transactions with innovative companies in South Africa and the rest of Africa, and admire the extent to which Izyshop has developed in the absence of external financial and advisory support. With the right kind of backing, HAVAIC believes that Izyshop will make a significant impact in its markets and will offer investors attractive returns.
Izyshop is currently the only company offering online grocery services in Maputo specifically and Mozambique generally. Founded in August 2015, Izyshop envisions ultimately providing its services to users in other Mozambican urban centres, along with further expansion into other African urban centres.