6 Fintech Soonicorns with African Origins

2021 was a blockbuster yr for funding in African fintech startups, with a whopping US$1.6 billion invested throughout 153 offers. The figures symbolize two occasions the worth of 2020 (US$800 million), and a 50% improve in transaction numbers, information from KPMG’s Pulse of Fintech H2 2021 report present.

Booming funding exercise on the continent in 2021 pushed valuations to new heights, turning at the least three fintech startups with African origins into unicorns: Flutterwave, a cost providers supplier from Nigeria, closed two mega-rounds in 2021 and is now valued at US$3 billion; OPay, a cellular cash supplier from Nigeria, is price a reportedly US$2 billion; and Wave, a cellular cash resolution from Senegal; crossed the billion-dollar mark in September and is now valued at US$1.7 billion.

This yr, a brand new wave of fintech leaders is rising and attracting buyers’ curiosity for his or her potential in tackling a few of the area’s greatest challenges, together with monetary exclusion.

Axel Peyriere, a tech entrepreneur and investor, identifies six up-and-coming fintech startups from Africa which can be properly en path to reaching unicorn standing. These so-called fintech soonicorns not too long ago secured notable rounds of funding and have a valuation of US$500 million and up.

Africa's next wave of unicorns, Source: Axel Peyriere, LinkedIn

Africa’s subsequent wave of unicorns, Supply: Axel Peyriere, LinkedIn

Africa’s fintech soonicorns



TymeBank is a digital retail financial institution in South Africa, providing a transactional account, cash switch service, financial savings account and extra, to just about 5 million prospects.

TymeBank doesn’t have any bodily financial institution department and depends on its cellular banking apps, Web banking website and a partnership with retail chains to host a nationwide community of self-service kiosks that facilitate the account opening course of.

TymeBank is a part of TymeGlobal, a digital banking firm primarily based in Singapore which additionally operates the GoTyme model, a forthcoming digital financial institution within the Philippines.

In line with Peyriere, TymeBank is valued at about US$900 million. The corporate closed a US$180 million Collection B in December 2021 to fund GoTyme, enhance the corporate’s potential to handle threat and assist its growth into new markets.



Headquartered in Cape City, Jumo affords financial savings and credit score merchandise to entrepreneurs in rising markets, in addition to monetary providers infrastructure to companions comparable to e-money operators, cellular fintech platforms and banks.

Lively in seven markets, specifically Ghana, Tanzania, Kenya, Uganda, Zambia, Cote d’Ivoire and Pakistan, Jumo claims it has been used to make 120 million loans, totaling over US$4 billion in funds to greater than 19 million people and companies.

Jumo closed its newest funding spherical in November 2021, a US$120 million spherical that introduced its complete fairness and debt to greater than US$200 million. The corporate is now valued at about US$850 million, in keeping with Peyriere.



TeamApt is a Nigerian fintech startup constructing monetary platforms for companies and offering them with funds and banking providers, credit score in addition to enterprise administration instruments.

TeamApt claims it has Nigeria’s largest funds distribution community, with over 200,000 companies onboarded on its platforms Moniepoint, a enterprise banking providing, and Monnify, an enterprise software program suite for small enterprise administration, and processes north of US$6 billion month-to-month.

TeamApt is valued at round US$800 million, in keeping with Peyriere. The corporate has been reportedly seeking to elevate about US$150 million at a price of greater than US$1 billion, Bloomberg reported in November 2021.



Based in 2018, MNT-Halan claims to be Egypt’s main fintech participant, offering a complete digital ecosystem that features small and micro enterprise lending, purchase now, pay later (BNPL), funds, shopper finance, invoice funds, e-commerce, and supply.

The corporate says it serves over 4 million prospects in Egypt, of which 1 million are month-to-month lively customers. It has disbursed over US$1.7 billion price of loans to 1.8 million debtors since inception and claims to course of US$100 million month-to-month

MNT-Halan raised its newest funding spherical in September 2021, closing a US$120 million spherical that introduced its complete funding to US$146.4 million. In line with Peyriere, the corporate is valued at round US$700 million.



Based in 2015 and headquartered in Cape City, Yoco is a funds and software program firm. It serves small companies in South Africa, offering them with a cost suite for them to simply accept digital funds, card funds, in addition to simply monitor and reconcile all invoices and funds whether or not in-person or on-line.

Since launching in late 2015, Yoco has grown into one of many largest impartial point-of-sale funds firms available in the market, with a service provider base of over 200,000. Yoco claims to course of greater than US$2 billion in card funds per yr.

Yoco has raised US$107 million in funding, and is valued at round US$600 million, in keeping with Peyriere. The corporate raised US$83 million in its newest funding spherical again in July 2021, which it stated it will use to speed up product growth and broaden its market presence past South Africa.



Based in 2016, Kuda is a London-headquartered startup and digital-only financial institution working in Nigeria. The corporate supplies a mobile-first, full-service financial institution platform designed to help customers in neatly budgeting, saving and spending.

Kuda is Nigeria’s first mobile-only financial institution licensed by the Central Financial institution of Nigeria (CBN), and it’s at the moment licensed for microfinance and cellular banking providers. The corporate claims greater than 2 million prospects.

In August 2021, Kuda raised a US$55 million Collection B funding spherical at a US$500 million valuation. The financial institution has plans to launch into extra international locations on the continent quickly.


Featured picture credit score: Edited from Freepik

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