Fresh from acquiring US-based Global Technology Partners (GTP) for $34 million, MFS Africa announced that it has secured an additional $100 million in its series C extension to $200 million. The company raised $100 million initially in 2021.
The additional US$100 million in equity and debt funding was led by Admaius Capital Partners. Other investors include new investors, Vitruvian Partners and AXA IM Alts alongside existing investors, AfricInvest FIVE and CommerzVentures, and previous investors including LUN Partners Group, Goodwell Investments, Allan Gray Ventures, Endeavor Catalyst and Endeavor Harvest, Equator Capital Partners, Ulme B.V., and Vlemeij B.V.
According to Dare Okoudjou, founder and CEO of MFS Africa, the new funding will further accelerate MFS Africa’s expansion plans across Africa, its integration into the global digital payment ecosystem, its expansion into Asia through its joint venture with LUN Partners to enable cross-border digital payments between Africa and China, and its ambitious growth plans for the BAXI network of merchants and agents in Nigeria and beyond.
“With this US$100 million extension of our Series C fundraise we are thrilled to have the support of world-class investors Admaius, Vitruvian and AXA IM Alts, and for the continued support of existing investors, on our journey to making borders matter less when it comes to payments. The strength of our business model is grounded on building a lasting digital infrastructure that unleashes and simplifies economic activities across the continent through any-to-any interoperability. Our multiple initiatives and solutions are providing access to Africans, at home and in the diaspora. We are building MFS Africa into a safe, sound, scalable and high impact pan-African payment infrastructure that will facilitate Africa’s rapidly growing commerce, both now and in the future,” Dare added.
Marlon Chigwende, Managing Partner of Admaius Capital Partners, said: “What drew us to this deal is the quality of the team that Dare has assembled; it is outstanding. As an Africa focused private equity house investing in high impact sectors that drive social and economic transformation, our investment in MFS Africa is exactly what our existing investors are looking for, namely well managed, fast-growing, market leaders empowering financial connectivity and inclusion across the African continent.”
Joe O’Mara, Partner of Vitruvian Partners, said: “At Vitruvian Partners, our mission is to support the most ambitious and talented entrepreneurs and high growth companies to achieve their goals. We are delighted to be making our first investment in the continent with MFS Africa, and we believe that Dare and his team have built the foundations for a transformational business with strong long-term growth prospects.”
Jonathan Dean, Head of Impact Investing at AXA IM Alts, commented: “We are thrilled to invest in MFS Africa’s mission of accelerating digital financial inclusion, as this directly contributes to our broader impact goals of improving financial connectivity and reducing inequalities globally. Our investment will support the expansion of MFS Africa’s product offering and the creation of economic and societal value.”
Since the first close of its Series C fundraise back in November 2021, MFS Africa says it has completed its acquisition of BAXI in Nigeria. BAXI has since received additional licenses from the Central Bank of Nigeria, including PSSP and PTSP licenses.
It has also continued to build out its leadership team with the addition of Meghan Taylor – previously Partner at Boston Consulting Group – as Chief of Staff, responsible for business integration across the Group; and most recently, Julian Adkins – previously Africa CFO at Millicom (Tigo) – who has been appointed as Group Chief Financial Officer.
