The majority owner of the Durban-based Ignition Group of companies, formed in 2002 by brothers Sean and Donovan Bergsma, is the acquiring company Impresa Capital.
“As a proudly African-rooted business, this acquisition cements our strategy of investments in the technology and media sectors and provides our portfolio of businesses with a solid platform for growth,” said Sean Bergsma, cofounder and CEO of Ignition Group.
“We plan to enable Gumtree customers to experience new ways of buying and selling through partnerships with the Ignition ecosystem of services.”
“The accelerated growth of Gumtree on the African continent will see new jobs being created, and with the technology developed further using local South African talent, it means exciting times ahead for all stakeholders,” he said.
Gumtree SA, an online marketplace that allows millions of users and consumers to buy and sell used items every day, was established in 2004. It continues to be one of the most popular websites in the nation.
“And so being acquired by a South African investor is an important and exciting next step for the Gumtree SA business. We look forward to unlocking synergies within the Ignition Group businesses and network,” said Cobbledick.
Final regulatory permissions are still pending on the transaction.