Aruwa Capital Management, a growth equity and gender-lens fund investing in Nigeria and Ghana, is pleased to announce a $1.5 million investment in Yikodeen Company Limited ("Yikodeen" or the "Company"), a leading local manufacturer of safety and industrial footwear company. Aruwa Capital was the sole investor in the round and completed the investment from its sophomore fund, Aruwa Capital Fund II.
Founded in 2016 by Yinka Atunde, Yikodeen is addressing a critical gap in Nigeria's safety footwear industry, traditionally dominated by imports. As one of the sole indigenous manufacturers licensed to supply safety footwear to Nigeria’s oil and gas industry, Yikodeen has capitalised on the growing enforcement of local content regulations and the increasing demand for personal protective equipment (PPE) in critical sectors. Yikodeen’s product portfolio includes safety boots, back to school shoes for children, active sportswear shoes and other fashion footwear. Since its inception, the Company has produced over fifty thousand shoes for a number of blue-chip corporate clients and has positioned itself as a major player in the industry.
According to Statista, the Nigerian footwear market is estimated at $2.1 billion in 2024, and projected to reach $2.6 billion by 2029, presenting significant growth opportunities for local manufacturers. A key driver is the $700 million safety footwear segment, an area of specialisation for Yikodeen, fuelled by stricter safety regulations and growing awareness of occupational safety across sectors like construction, oil and gas, and manufacturing. This presents Yikodeen with a compelling opportunity to expand its market share and solidify its leadership position based on its expertise in producing durable, standards-compliant safety boots tailored to industry needs. The Company’s strategic focus on local manufacturing not only addresses supply chain challenges but also ensures quicker response times and cost-effective solutions for customers seeking reliable safety footwear in an increasingly regulated market environment.
Beyond its commercial success, Yikodeen is deeply committed to social impact and impacting its surrounding local community and neighbourhoods positively. The Company employs over 80 workers, actively promotes gender diversity and has introduced family friendly policies and fair wage practices to ensure inclusivity. The Company’s annual vocational training programs have equipped over 200 individuals with skills in leatherwork, contributing to community development and job creation. Additionally, the Company has an annual program targeted at children, donating over 1,000 pairs of shoes to children in need each year.
The investment from Aruwa Capital will be deployed in three strategic areas: acquiring advanced production equipment which will increase its safety boots production capacity by 10x to 2,500 shoes per day, expanding marketing and business development initiatives to on board more blue-chip corporate clients and expand its retail reach, and optimising operational efficiency through enhanced capacity utilisation. These initiatives will enable Yikodeen to significantly increase its production capacity, address its growing order book and significant pent-up demand, and enhance its ability to expand beyond Nigeria.
“This investment marks a significant milestone in Yikodeen’s journey to becoming a leading player in Africa’s footwear market. With Aruwa Capital’s support, we are poised to scale our operations, introduce innovative products, and deepen our impact in Nigeria and beyond. Our commitment to local manufacturing, quality, and sustainability remains unwavering, and we are excited about the opportunities this partnership will unlock. We are grateful to the Aruwa Capital team for their belief in our vision and look forward to working with them to significantly scale our operations.”
-Yinka Atunde, Founder and CEO of Yikodeen
“We are thrilled to partner with Yikodeen as it enters this critical inflection point of growth. Yikodeen’s proven track record, strong management team, and commitment to local content development give us immense confidence in its future success. This partnership will not only drive strong financial returns but also deliver significant social impact by creating jobs, empowering women, and supporting local supply chains.
In line with Aruwa’s gender lens investing strategy, Yikodeen is committed to gender diversity and inclusion with 33% of the senior management team composed of women and a workforce with 61% female representation amongst factory workers. We are excited to work with Yikodeen to redefine Africa’s footwear landscape.”
-Adesuwa Okunbo Rhodes, Founder & Managing Partner of Aruwa