A Nigerian fintech firm has plans to increase into new markets throughout Sub-Saharan Africa, after receivin…
A Nigerian fintech firm has plans to increase into new markets throughout Sub-Saharan Africa, after receiving a USD 20 million funding.
The dad or mum firm of Nigerian e-payment firm International Accelerex has acquired a USD 20 million funding from personal fairness agency Africa Capital Alliance (ACA).
Below the settlement, the Capital Alliance Non-public Fairness IV (CAPE IV) fund will acquire three seats on the board of Accelerex Holdings, headquartered in Mauritius, in return for the funding.
Headquartered in Lagos, International Accelerex supplies cost providers to 95% of Nigeria’s banks and 90,000 retailers. The corporate expanded into Ghana in 2019 and the brand new funding will help new operations in Ivory Coast, Kenya, Tanzania and South Africa within the subsequent two years, in addition to new product growth.
In an announcement, chief govt of International Accelerex, Tunde Ogungbade, stated: “This partnership will help Accelerex to aggressively expand into Africa and accelerate product development.”
CAPE IV has USD 567 million for funding in corporations within the monetary providers, fast-moving shopper items, power, and expertise, media and telecommunications sectors, in addition to different rising industries.
ACA companion Paul Kokoricha added that funding and experience are essential when scaling up fintech companies, saying: “Accelerex’s strong business model and its agile and dynamic management team makes it the ideal African fintech group to back.”
As well as, Accelerex has bought a majority stake in Abuja-based SLS Microfinance Bank, giving it further capabilities within the agent banking market.
United Kingdom growth finance establishment CDC Group is an anchor investor in ACA’s funds, together with CAPE IV, to which it invested USD 50 million in 2015.
CDC Group lately supplied USD 75 million in debt finance for Nigeria-based Stanbic IBTC, a subsidiary of the South African Customary Bank.
Different current CDC Group actions embrace investing USD 100 million in commerce finance help by way of Customary Chartered and one other USD 100 million by way of a European department of Japan’s Sumitomo Mitsui Banking Company.
In 2019, fintech firm Cash Plus was offered to fellow Moroccan firm Groupe Richbond, whereas in April this yr, Vodafone offered M-Pesa to South African and Kenyan corporations Vodacom and Safaricom.