E-Commerce Firm Jumia Draws Takeover Interest From Axian
Axian, which is based in Mauritius and primarily offers telecommunications services in Africa, raised $600 million this week to refinance its debt and help fund a possible takeover of Jumia, the people said, asking not to be identified because the deliberations are private. No final decisions have been made and the companies may not come to an agreement, they said. Jumia has a market value of about $500 million.
The deal would help both companies expand across the continent, the people said. Jumia, which started in Nigeria in 2012 and held an initial public offering in New York in 2019, could be delisted in any deal, they said. Axian has been building a stake in the company, and announced in May that it held 8 percent of shares.
Representatives for Jumia and Axian declined to comment.
Jumia's American depositary receipts jumped 5.7 percent to $4.25 at 10:54 a.m. in New York after earlier surging as much as 17 percent, the biggest intraday gain since May. The stock has risen 11 percent this year.
Often referred to as the 'Amazon of Africa,' Jumia has had to do its own mapping in some of its markets and set up logistics networks to cater to a young and increasingly tech-savvy population that uses smartphones to bridge gaps in infrastructure and services. It was one of the first African companies to achieve 'unicorn' status with a valuation of more than $1 billion, but its shares have declined significantly since the IPO.
By Loni Prinsloo
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Jumia, Turkey's Hepsiburada Plan Africa E-Commerce Growth Push
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San Francisco Chronicle
25 minutes ago
- San Francisco Chronicle
Trump's tariff pressure pushes Asia toward American LNG, but at the cost of climate goals
HANOI, Vietnam (AP) — Asian countries are offering to buy more U.S. liquefied natural gas in negotiations with the Trump administration as a way to alleviate tensions over U.S. trade deficits and forestall higher tariffs. Analysts warn that strategy could undermine those countries' long-term climate ambitions and energy security. Buying more U.S. LNG has topped the list of concessions Asian countries have offered in talks with Washington over President Donald Trump's sweeping tariffs on foreign goods. Vietnam's Prime Minister underlined the need to buy more of the super-chilled fuel in a government meeting, and the government signed a deal in May with an American company to develop a gas import hub. JERA, Japan's largest power generator, signed new 20-year contracts last month to purchase up to 5.5 million metric tons of U.S. gas annually starting around 2030. Liquefied natural gas, or LNG, is natural gas cooled to a liquid form for easy storage and transport that is used as a fuel for transport, residential cooking and heating and industrial processes. Trump discussed cooperation on a $44 billion Alaska LNG project with South Korea, prompting a visit by officials to the site in June. The U.S. president has promoted the project as a way to supply gas from Alaska's vast North Slope to a liquefication plant at Nikiski in south-central Alaska, with an eye largely on exports to Asian countries while bypassing the Panama Canal Thailand has offered to commit to a long-term deal for American fuel and shown interest in the same Alaska project to build a nearly 810-mile (1,300-kilometer) pipeline that would funnel gas from The Philippines is also considering importing gas from Alaska while India is mulling a plan to scrap import taxes on U.S. energy shipments to help narrow its trade surplus with Washington. 'Trump has put pressure on a seeming plethora of Asian trading partners to buy more U.S. LNG,' said Tim Daiss, at the APAC Energy Consultancy, pointing out that Japan had agreed to buy more despite being so 'awash in the fuel' that it was being forced to cancel projects and contracts to offload the excess to Asia's growing economies. 'Not good for Southeast Asia's sustainability goals,' he said. LNG deals could derail renewable ambitions Experts say LNG purchasing agreements can slow adoption of renewable energy in Asia. Locking into long-term deals could leave countries with outdated infrastructure as the world shifts rapidly toward cleaner energy sources like solar or wind that offer faster, more affordable ways to meet growing power demand, said Indra Overland, head of the Center for Energy Research at the Norwegian Institute of International Affairs. Building pipelines, terminals, and even household gas stoves creates systems that are expensive and difficult to replace—making it harder to switch to renewables later. 'And you're more likely then to get stuck for longer,' he said. Energy companies that profit from gas or coal are powerful vested interests, swaying policy to favor their business models, he said. LNG burns cleaner than coal, but it's still a fossil fuel that emits greenhouse gases and contributes to climate change. Many LNG contracts include 'take-or-pay' clauses, obliging governments to pay even if they don't use the fuel. Christopher Doleman of the Institute for Energy Economics and Financial Analysis warns that if renewable energy grows fast, reducing the need for LNG, countries may still have to pay for gas they no longer need. Pakistan is an example. Soaring LNG costs drove up electricity prices, pushing consumers to install rooftop solar panels. As demand for power drops and gas supply surges, the country is deferring LNG shipments and trying to resell excess fuel. The LNG math doesn't add up Experts said that although countries are signaling a willingness to import more U.S. LNG, they're unlikely to import enough to have a meaningful impact on U.S. trade deficits. South Korea would need to import 121 million metric tons of LNG in a year — 50% more than the total amount of LNG the U.S. exported globally last year and triple what South Korea imported, said Doleman. Vietnam — with a trade surplus with the U.S. twice the size of Korea's — would need to import 181 million metric tons annually, more than double what the U.S. exported last year. Other obstacles stand in the way. The Alaska LNG project is widely considered uneconomic. Both coal and renewable energy in Asia are so much cheaper that U.S. gas would need to cost less than half its current price to compete. Tariffs on Chinese steel could make building building gas pipelines and LNG terminals more expensive, while longstanding delays to build new gas turbines mean new gas power projects may not come online until 2032. Meanwhile, a global glut in LNG will likely drive prices lower, making it even harder for countries to justify locking into long-term deals with the United States at current higher prices. LNG deals raise energy security concerns Committing to long-term U.S. LNG contracts could impact regional energy security at a time of growing geopolitical and market uncertainties, analysts said. A core concern is over the longterm stability of the U.S. as a trading partner, said Overland. 'The U.S. is not a very predictable entity. And to rely on energy from there is a very risky proposition,' he said. LNG only contributes to energy security when it's available and affordable, says Dario Kenner of Zero Carbon Analytics. 'That's the bit that they leave out ... But it's pretty important,' he said. This was the concern during the recent potential disruptions to fuel shipments through the Strait of Hormuz and earlier during the war in Ukraine, when LNG cargoes originally destined for Asia were rerouted to Europe. Despite having contracts, Asian countries like Bangladesh and Sri Lanka were outbid by European buyers. 'Events in Europe, which can seem very far away, can have an impact on availability and prices in Asia,' Kenner said. Asian countries can improve their energy security and make progress toward cutting carbon emissions by building more renewable energy, he said, noting there is vast room for that given that only about 1% of Southeast Asia's solar and wind potential is being used. 'There are genuine choices to meet rising electricity demand. It is not just having to build LNG,' he said. Jintamas Saksornchai in Bangkok contributed to this report. ___ Associated Press climate and environmental coverage receive support from several private foundations. See more about AP's climate initiative here. The AP is solely responsible for all content.
Hamilton Spectator
an hour ago
- Hamilton Spectator
Trump says Coke will shift to cane sugar. But increasingly, shoppers want no sugar in their sodas
The debate over whether Coca-Cola should use high-fructose corn syrup or cane sugar in its signature soda obscures an important fact: Consumers are increasingly looking for Coke with no sugar at all. Coca-Cola Zero Sugar, which was introduced in 2017, uses both the artificial sweetener aspartame and the natural sweetener stevia in its recipe. It's one of Coke's fastest-growing products, with global case volumes up 14% in the first quarter of the year. By comparison, the company's total case volumes were up 2%. PepsiCo also noted Thursday that 60% of its sales volumes in major markets in the second quarter came from low- or no-sugar drinks. 'When you look at colas, the percentage of growth coming from zero sugar is significant,' said Duane Stanford, the editor and publisher of Beverage Digest. Coca-Cola Co. hasn't confirmed a presidential pronouncement The scrutiny over Coke's sweeteners began Wednesday, when President Donald Trump announced that Atlanta-based Coca-Cola Co. had agreed to switch to using cane sugar in the regular version of its beverage manufactured in the U.S. 'I have been speaking to Coca-Cola about using REAL Cane Sugar in Coke in the United States, and they have agreed to do so,' Trump wrote on his social media site. 'I'd like to thank all of those in authority at Coca-Cola. This will be a very good move by them — You'll see. It's just better!' Coca-Cola didn't confirm the change. In a statement, the company said it appreciated Trump's enthusiasm and would share details on new offerings soon. Stanford said he doubts Coca-Cola will fully shift away from high fructose corn syrup , which has sweetened Coke in the U.S. since the 1980s. There would be tremendous supply chain and logistics headaches, he said, and the U.S. doesn't make enough sugar for Coke's needs. He expects the Atlanta-based company will offer a cane sugar-sweetened version in the U.S. just like its rival Pepsi has been doing since 2009. He noted that Coke has indulged U.S. fans by importing Mexican Coke , which is made with cane sugar, since 2005. Coke positions Mexican Coke as an upscale alternative and sells it in glass bottles . A rush to defend high fructose corn syrup The corn industry wasn't happy with the speculation. In a statement Wednesday, Corn Refiners Association President and CEO John Bode said replacing high fructose corn syrup with cane sugar makes no sense and would cost thousands of American manufacturing jobs. Shares in ADM, a maker of high fructose corn syrup, dipped nearly 2% Thursday after Trump's announcement. In a message on X, Coca-Cola defended high fructose corn syrup, saying it's no more likely to contribute to obesity than table sugar or other full-calorie sweeteners. 'It's safe; it has about the same number of calories per serving as table sugar and is metabolized in a similar way by your body,' the company said. 'Please be assured that Coca-Cola brand soft drinks do not contain any harmful substances.' The Food and Drug Administration also says there is no evidence of any difference in safety among foods sweetened with high fructose corn syrup and those that sugar, honey or other traditional sweeteners. US consumers are seeking more options Soft drink preferences are highly subjective, as anyone who has been in a Pepsi vs. Coke or 7-Up vs. Sprite debate knows. But recent trends indicate that Coke and other drink makers need to focus on the kinds of low- and no-sugar drinks that a growing number of consumers are seeking, according to Stanford. He said his data shows original Coke was the top seller by volume in the U.S. last year, with 19% market share, while Coke Zero Sugar was seventh and had a 4% market share. But Coke Zero Sugar's share grew 10%, while original Coke's share was flat. Paige Leyden, the associate director of food service, flavors and ingredients reports at the market research company Mintel, said drinks with a health halo like Olipop — which has 1 gram of sugars compared to original Coke's 65 grams — are also pressuring legacy soda makers. Mintel expects full-sugar sodas will see a 3.4% rise in U.S. sales this year, while diet sodas will see 11.8% growth. Still, nutritionists suggest avoiding added sugars, no matter the form, since they provide empty calories with no nutrients. The 2020 U.S. dietary guidelines advise people to limit foods and beverages higher in added sugars, and say children under 2 should not be fed them at all. Health Secretary Robert F. Kennedy, whose nutrition views often diverge from mainstream nutrition science , has spoken out against sugar. His agency is expected to release updated nutrition guidelines later this year. 'There's things we'll never be able to eliminate, like sugar,' Kennedy said at an April news conference. 'And sugar is poison, and Americans need to know that.' Aspartame and other artificial sweeteners are also named as a concern in a government report Kennedy issued in May. ___ AP Health and Science Editor Jonathan Poet contributed from Philadelphia.
Hamilton Spectator
an hour ago
- Hamilton Spectator
Arsenal's gaudy transfer fee for Canadian forward Olivia Smith buzzes at home
A Canadian player setting a new benchmark in the women's soccer transfer market floats a lot of boats, says Northern Super League co-founder and former Canadian international Diana Matheson. The one million pounds (C$1.85 million) Arsenal paid Liverpool for 20-year-old forward Olivia Smith of Whitby, Ont., in the Women's Super League is the biggest price tag in women's soccer history for a transfer. Matheson says an accelerating transfer fee market bodes well for the NSL, which kicked off this year with six teams and a mission to provide the first domestic women's pro league for Canadian and international players. 'The growth of the market really helps us sell to investors in Canada and abroad,' she said. 'The transfer market is obviously a piece of that puzzle. 'This is where the market is at that a Canadian player is going for this and how exciting is it like that we're not far around the corner now that we have a professional league, that if top Canadians choose to leave the Canadian league in the future, clubs could be selling them for a whole lot of money because we create such world-class players.' Smith's transfer to the Gunners announced Thursday surpassed the previous high of 900,000 pounds (C$1.6 million) Chelsea paid the NWSL's San Diego Wave for American centre back Naomi Girma in January. 'To be part of a movement that's changing how the game is valued is an honour,' Smith said in a statement released by her public relations agency. 'This is a huge step forward for women's soccer and for Canadian soccer. I hope this shows young Canadian girls that anything is possible.' Serita Thurton of the NSL's Wild FC said rumours about Smith's transfer to Arsenal before it was announced was a topic of discussion in the Calgary club's dressing room. 'Seeing a Canadian player break a record like this, it kind of just shows that Canada has a lot to offer when it comes to quality in soccer players,' said the forward from Ajax, Ont. 'It definitely makes our league look a lot better. Even though she isn't playing it, just the fact that it is a Canadian league, it does make a statement saying that Canada has quality players and that we're a football country in our own right. So yeah, it definitely has a good look in that sense.' Matheson, who retired in 2021, says a transfer fee market for women was nonexistent for most of her career. 'The Olivia Smith transfer is an indication of the strength of the women's soccer transfer market and the overall business model,' she said. 'We all know what transfer fee market looks like on the men's side. And then the women's side, this is a fairly newer revenue stream. 'How exciting is it that like we produce so many incredible players like Olivia, what a positive indicator for women's soccer in Canada that we now have a league and these future players could be playing in Canada, and these giant transfer fees could actually be coming to Canadian clubs in the future and actually fuelling the growth of Canadian women's soccer.' The most expensive transfer fee on the men's side was 200 million pounds (CDN $368 million) for Neymar's move from Barcelona to Paris Saint-Germain in 2017. FIFA reported US$8.59 billion was spent on men's transfers in 2024. The women's transfer market was small by comparison at $15.6 million, but was double the amount of 2023. Given the rapid expansion, Smith might not hold the record long. 'This is a touch point on the value of the marketplace when so many people are looking for data points and growth factors,' said Cheri Bradish, an associate professor and director of Future of Sport Lab and Sport Initiatives at Toronto Metropolitan University. 'It just really validates the growth and development of the women's sports market.' A Deloitte study predicted global revenues in women's elite sports will reach at least US$2.35 billion (C$3.2 billion) in 2025, with women's soccer accounting for 35 per cent behind basketball at 44. Arsenal's investment in Smith is interesting on multiple fronts, says Canadian Women and Sport chief executive officer Allison Sandmeyer-Graves. 'Just knowing that Olivia's a Canadian, what a cool indicator of just the quality of Canadian talent,' she said. 'It's about the calibre of the player already, but also for the player's incredible potential going forward. They expect her star to continue rising and they expect that next time there's a trade the figure is going to be even higher, but also that she is going to be a very productive player while she's there with their team. 'We are talking wins and losses, but we're also talking about commercial value. They obviously expect that her being in their club is going to be a driver of revenue and of value for their club.' This report by The Canadian Press was first published July 17, 2025.
