Africa-focused fintech firm Flutterwave has raised $250-million in its single-biggest funding round to date. This has pushed the start-up valuation at more than $3-billion, as it targets mergers and acquisitions, and a growing existing customer base.
The latest funding round was led by investors including Facebook co-founder Eduardo Saverin’s venture capital firm B Capital Group and Boston-based hedge fund Whale Rock Capital Management, Flutterwave said.
Founded in 2016 in Nigeria, the San Francisco-headquartered company specializes in individual and consumer transfers, one of several fintech firms aiming to facilitate and capitalize on Africa’s booming payments market.
“It (funding) gives Flutterwave the much-needed support to deliver on our plans to provide the best experience for our merchants and customers around the world,” founder and CEO Olugbenga Agboola said.
The completion of the fundraising round, more than two years after Flutterwave announced a partnership with Visa and Worldpay, highlights the growing interest in the burgeoning payments market in Africa.
Since its inception, Flutterwave has processed more than 200 million transactions valued at over $16-billion across 34 countries in Africa, the company said, adding it now served 900 000 customers.
“Having been investors in Flutterwave since 2017, we have had a front-row seat in seeing it establish itself as a leading payments company in Africa as it drives adoption of seamless digital payments experiences for merchants and consumers alike,” said David Glynn, managing partner of Glynn Capital.
This means that businesses integrating payments services in Cameroon, Côte d’Ivoire, Rwanda, Uganda, and Zambia will be able to receive them through MoMo, which provides consumers and businesses with an electronic wallet, enabling electronic transfers and payments, as well as access to digital and financial services.
The new mobile money partnership is expected to increase mobile money use and penetration in Africa to improve local economies and livelihoods and create opportunities for individuals and businesses across the continent.