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Zeepay raises equity from Africa50, leading institutions to support expansion

  • The investment was led by Africa50 and Oikocredit, with participation from Injaro Ghana Venture Capital Fund (IGVCF) and Verdant Capital Hybrid Fund.

  • The transaction also included a follow-on investment from Investisseurs & Partenaires (I&P), through its I&P Afrique Entrepreneurs II (IPAE 2) investment vehicle.

  • The investment will support the expansion of Zeepay’s cross-border remittances and mobile financial services businesses across Africa and the Caribbean.

Ghanaian fintech company Zeepay Ghana Ltd today announced the completion of an equity investment by pan-African investment firms Africa50, Oikocredit, Injaro, Verdant Capital Hybrid Fund, and I&P. The funds will go towards expanding Zeepay’s operations in Africa and the Caribbean.

Zeepay is a fast-growing payment infrastructure company with a footprint in more than 20 countries globally. Since its inception in 2014, Zeepay has specialised in facilitating the instant settlement of remittances into mobile money wallets in Africa and the Caribbean on behalf of leading international money transfer organizations (IMTOs). Last year, the Company settled over 10 million remittance transactions worth over $3billion in value.

The company’s vision is to promote financial inclusion and transform cross-border payments, particularly in low-income countries. This equity investment will support Zeepay in expanding its geographical footprint and in deepening its offering to IMTOs as well as senders and recipients of remittances.

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Andrew Takyi-Appiah, the Founder & CEO of Zeepay Ghana Ltd, commented: “We would like to thank all our stakeholders, including our customers, shareholders, and staff for all the support in bringing this round to a close. The raise will greatly assist us to complete our on-going expansion drive into the rest of Africa. Our short to medium plan is to expand our mobile money reach into a minimum of 10 countries within the next 2 years leveraging remittances in partnership with MoneyGram and delighted to see this vision come through.”

“Africa50 is delighted to be partnering with Zeepay to support its leading role in the digital payments infrastructure space on the African continent and beyond. Foreign currency inflows from remittances are the lifeline for many African economies with sizable diaspora populations, especially in the current economic environment. Zeepay provides a local, affordable, secure, and convenient money transfer solution for the industrious African diaspora to support their loved ones,” said Raza Hasnani, Managing Director and Head of infrastructure Investments at Africa50.

“Oikocredit is delighted to partner with Zeepay as we grow our global portfolio of impactful fintechs. Remittances are essential to financial inclusion for many households in Zeepay’s countries of operation, and its digital wallets help overcome challenges around transparency, cost,  convenience, speed and safety for both senders and receivers of funds. We are pleased to partner with a fast-growing African business led by a capable team, and look forward to supporting its growth,” said Samuel Kibiri, Equity Officer for Africa at Oikocredit.

”IPAE 2’s follow-on investment in Zeepay demonstrates our conviction in the success and prospects of the business. We are proud to have partnered a highly capable promoter and management team in delivering impressive financial and social returns over the past two years with our initial investment. We are excited to be joined by new like-minded investors and remain fully committed to supporting the Zeepay to attain its goal of becoming a leading pan African mobile financial services business impacting the lives of millions of underserved users across Africa and the Caribbean,” said Sebastien Boyé, Co-CEO of I&P.

“The Injaro team is honoured to partner with the Zeepay team, which is led by Andrew Takyi-Appiah, a dynamic and visionary young Ghanaian entrepreneur. We look forward to working together to achieve the ambitious goal of creating a successful Ghanaian multinational and a market leader in the fintech space. It is especially gratifying to finance Zeepay with Ghanaian capital as this ensures that profits from this investment flow back into the local economy to trigger a virtuous cycle of economic development. We believe that this investment represents an important first step in building linkages between Ghana’s pension funds and exceptional local businesses which are important drivers of Ghana’s economic growth”, remarked Jerry Parkes, Managing Director of Injaro Investment Advisors Limited.

Kwabena Appenteng, Director at Verdant Capital, said, “Zeepay offers investors like Verdant an attractive combination of hard currency earnings through its remittance-to-the-wallet business and growth opportunities across the continent. Testament to the strength of the management team at Zeepay:  the business reached profitability earlier in its lifecycle than other fintechs and has maintained strong profitability while growing and diversifying its footprint and revenue base.”

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