Hi Fintech friends 👋,
Here are the highlights of what happened in African Fintech this week;
Xero acquired an African Ai based financial reporting platform for $70 Million.
Four Fintechs raised over $14 Million.
The Fintech Fund raised $10 Million to fund great early stage Fintechs from anywhere.
An African VC launched a $33 Million fund to support growth of SMEs.
African based angel investment syndicate was acquired by a US based Venture firm.
Owner of Africa’s biggest mobile money partnered with Mastercard to boost digital payments.
The long wait is almost over
It's happening - early bird tickets on sale!@twifintech x @TechCabal present: Lagos Moonshot Fintech Happy hour, Oct 11, proudly sponsored by @usesmileid with support from @paystack
Seeking just one more sponsor so we can accommodate more guests 🙏🏾https://t.co/YjWDTVRbcj pic.twitter.com/QAGJ0h4Xbd— Wiza J. (f/acc) (@wizaj) September 23, 2024
💸Fundraise and Exits
TymeBankraised $9.5 Million amid 59% deposit growth and improved merchant credit.
Tymebank revenue mix
Regfyl, a Nigerian fraud detection company, raised $1.1 Million to expand the team and build a new compliance product.
NATIONAL IDS ARE THE MOST USED DOCUMENTS FOR IDENTITY FRAUD IN AFRICA
Egypt's SETTLEraised $2 million in pre-seed funding to enhance B2B payment automation.
Digital payments momentum in Egypt
South Africa’s Happy Payraised $1.8 million to boost growth and expand offerings.
Top 10 Fintechs in South Africa
Uganda's ABCreceived investment from Netherlands-based Goodwell to increase its client base and deploy new services.
💰 Venture Funds
The Fintech Fund whose African portfolio includes Fintechs like Stitch, raised its $10 Million second fintech-focused venture fund.
Top 10 Fintech Fundraises in Africa in 2023(Equity).
Uncap, a venture capital firm based in Munich and Nairobi launched a $33 million fund to support the growth of small and medium-sized enterprises (SMEs) across Africa.
How Uncap invests
US-based Sultan Venturesexpanded its reach into MENA with acquisition of Egypt's Acasia Group.
Number of investors in Egypt
🚀 Partnerships & Product Launches
Safaricompartnered with Mastercard to boost digital payments and remittances in Kenya.
Safaricom revenue decomposition
Africa B2B Payment Flows Segmentation and Solution Landscape
Zambian neobank Lupiyapartnered with Network International to launch a new debit card.
👔 Leadership Lineup
Fintech KopoKoponamed new leadership amid Moniepoint acquisition talks.
📰 News of the Week
Xeroacquired South African Ai based financial reporting platform Syft for $70 Million.
Xero + Syft
The deal is projected to close between October and December 2024 pending regulatory approval. Syft reported $4.4 million in revenue from 75,000 customers across 80 countries.
Xero will pay $40 million upfront for the acquisition, including $10 million in shares. The rest—-earn-outs and employee-restricted shares—will be paid over three years. Syft’s 70 employees will also be integrated into Xero.
👀 Eye Openers
The Financial Institutions Training Centre (FITC) reported that Nigerian banks lost $25.7 million to fraud in Q2 2024. GTCO’s fintech HabariPaybegan recovery of $1.1 Million sent to customers in error. Ecobank Kenya lost “millions of dollars” after card flaws exposed it to fraud. A fatal error by NIBSSworsenedFlutterwave's $26 Million glitch.
Biometric fraud attempts caught by Smile ID by identification documentation type as a percentage of total KCY checks
Do we need more fraud prevention and loss mitigation startups in Africa? Share your thoughts, and we will publish them in the next newsletter.
📑 Read of the week
Fewer than 5% of seeded African startups make it to Series A.(Benjamindada)
Could Mobile Money be the future of SME Banking.(Frontier Fintech)
📖 Other News, Reads, and Media
The South African Reserve Bankcut interest rate for the first time in four years.
🎥 VIDEO INTERVIEWS/DISCUSSIONS
How Paystack changed the game in African Fintech
🦉 Tweet of the Week
After personally calling thousands of small businesses to sign them up for bank accounts, loans, and payment products, I’ve come to realize that their biggest obstacle isn’t whether they're interested—it's that they have no time.— Zach Bijesse (@ZachBijesse) September 17, 2024
🎯 Fintech Opportunities
People will be talking about this event for weeks after it happens.
3 sponsors confirmed. 2 more slots remaining. If you’re keen, this is the time. Please reach me at [email protected]. Historically, ALL our Africa events sell out completely. People will be talking about this event for weeks after it happens. @twifintech delivers. https://t.co/WGo2V74CcI— Wiza J. (f/acc) (@wizaj) August 15, 2024
Main sponsors confirmed. few more slots remaining. If you’re keen, this is the time. Please reach out at [email protected].
Made in Tanzania 🇹🇿 with 💚
