Previously holding a 32% stake, FDV’s new stake will now increase to 49%. It will achieve this by exercising its call option in the startup and via purchase of vendor shares.
The Call Option funding – US$250,000 – will be invested in the startup to ensure it remains top of the online auto space in Morocco.
“…this investment in ‘moteur.ma’, the number 1 automotive site in Morocco will see us increase our equity shareholding in the business while at the same time provided ‘moteur.ma’ with new funding to further accelerate its market leadership,” said Shaun Di Gregorio, founder and CEO, Frontier Digital Ventures.
He added, “moteur.ma is exceeding our Key Performance Indicator for growth in advertisers, increasing number of consumers visiting the website each month, and leads being generated from consumers to advertisers.”
Payment for the Call Option and acquiring vendor shares, which is worth US$80,000, will be made some time this October.
This transaction was indicated in FDV’s recent prospectus upon listing on the Australian Stock Exchange, where it raised US$22.9 million for investment in startups from emerging markets, including Africa.