Jumia Co-Founders Step Down

Jumia Co-Founders Step Down

Jumia Co-Founders Step Down


Jumia Technologies said founders and co-Chief Executive Officers Sacha Poignonnec and Jeremy Hodara both stepped down with immediate effect, with the Africa-focused e-commerce group struggling with persistent losses and a slumping share price.

Francis Dufay, who has held various leadership roles at Jumia since 2014, has been appointed acting Chief Executive, according to a statement Monday. A search for a permanent replacement for the former leaders is underway.

Poignonnec and Hodara, former colleagues at McKinsey & Co., founded Jumia ten years ago with a plan to introduce online retail and trading of goods to African markets. READ:Jumia, Zipline Partner on Drone Delivery in Africa Markets

The e-commerce group, which operates out of Lagos, Nigeria, pursued expansion into the likes of food delivery but has yet to make a profit amidst economic uncertainties. The e-commerce giant has been struggling to become profitable, resulting in share price decline.

“We want to bring more focus to the core e-commerce business as part of a more simplified and efficient organization with stronger fundamentals and a clearer path to profitability,” Chairman Jonathan Klein said in the statement.

Jumia was listed in the US in 2019, and the shares have since lost 71% of their value. The stock slumped 13% today in New York, according to Bloomberg.

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