Wasoko Founder Daniel Yu Steps Aside After Merger With MaxAB

Daniel Yu, Founder of Kenyan B2B e-commerce startup Wasoko and Co-CEO of MaxAB-Wasoko following last years merger, is stepping aside. Yu has transitioned out of his full-time role at the company, according to a LinkedIn post he published on Thursday. The move comes one year after Wasoko completed its landmark all-stock merger with Egypt-based MaxAB, creating one of Africa’s largest B2B retail platforms .

Yu, who founded Wasoko in 2013 (originally as Sokowatch), stated he will remain with the company as an adviser but will no longer be involved in day-to-day operations. He will be relocating to India and focusing on personal projects, including his role as board chair of Malengo, a non-profit supporting international education .

MaxAB co-founder Belal El-Megharbel will continue as sole CEO of the combined entity, which is headquartered in Cairo and operates across five African markets: Egypt, Morocco, Kenya, Tanzania, and Rwanda .

The Wasoko-MaxAB merger, first announced in December 2023 and finalised in August 2024, was structured as an all-stock transaction and is widely regarded as one of the largest tech mergers on the African continent. The integrated entity now serves over 450,000 merchants and claims to reach 65 million consumers .

The merger brought together two well-funded players in Africa’s B2B e-commerce sector. Wasoko had raised over USD 230 M from investors including Tiger Global and Silver Lake, while MaxAB was backed by backers such as British International Investment. Prior to the merger, Wasoko was last valued at USD 625 M in a 2022 Series B round, though investor VNV Global later marked down its valuation to USD 260 M in early 2024 .

As of the merger’s completion, the combined company was valued at approximately USD 526 M, according to VNV Global’s financial reports .

The merger occurred against a backdrop of market consolidation and operational recalibration for both companies. Leading up to and following the deal, Wasoko scaled back its operations, exiting several markets including Uganda, Zambia, and Senegal. It also underwent restructuring that included layoffs and the closure of its Zanzibar office .

The combined company has shifted its strategic focus from pure-play B2B e-commerce—a low-margin and operationally complex business—toward building a multi-vertical ecosystem. A significant part of this strategy is an emphasis on fintech services, which offer higher margins. These include merchant financing, digital payments, and airtime top-ups .

In Egypt, the group’s largest market, fintech services already generate approximately USD 180 M in annual turnover, the company claims, surpassing e-commerce transaction volumes. Over the past year, the company has extended more than USD 20 M in merchant financing with a reported repayment rate of over 99% .

Yu and El-Megharbel served as co-CEOs following the merger. Yu’s departure from executive duties formalises the leadership under El-Megharbel, who will now oversee the company’s daily operations .

The company has stated that its current priority is achieving profitability across all its markets through increased scale and operational efficiencies. The core e-commerce business is already profitable in three of its five operating countries, with goals to reach profitability in the remaining two within the next year.