Apis Partners, Crossfin exit South African fintech company as part of Nedbank deal
South African banking group Nedbank has entered into a binding agreement to acquire 100% of fintech company iKhokha.
** For the best experience, download the free Africa Private Equity News app Android | iOS **
South African banking group Nedbank has entered into a binding agreement to acquire 100% of fintech company iKhokha in an all cash deal for approximately R1.65 billion (about $94 million).
The transaction is subject to customary regulatory approvals and is expected to conclude in the coming months. Founded in 2012, iKhokha offers a suite of SME cash advance, payment and business management tools. The acquisition will see iKhokha become a wholly owned subsidiary of Nedbank, while continuing to operate under its own brand and leadership team.
The transaction also marks an exit for iKhokha’s long-standing investors – Apis Partners, Crossfin Holdings, and the International Finance Corporation.
Matteo Stefanel and Udayan Goyal, managing partners at Apis Partners, jointly commented: “We are incredibly proud of how far iKhokha has come – from a promising fintech startup to one of South Africa’s leading payment providers. Our partnership with Matt and the team has been deeply rewarding, not only in terms of the company’s rapid growth but also its powerful impact on thousands of South African SMEs. As iKhokha enters its next phase under the ownership of Nedbank, we’re confident it will continue to scale its mission of driving financial inclusion and empowering entrepreneurs across the country.”
Dean Sparrow, CEO of Crossfin Holdings, said, “We are extremely proud of what has been achieved by the iKhokha team to date and the fact that we have found a great home for the business, its people and the SME market it services.”
“This is a proud moment for both the founders and the broader iKhokha leadership team,” said Matt Putman, CEO and co-founder of iKhokha. “Joining forces with Nedbank gives us the platform to scale our impact, further accelerate product innovation, and unlock new value for our merchants. There is great alignment across both leadership teams on the synergies that can be unlocked through this transaction, and we believe our combined strengths will result in a truly differentiating and highly competitive value proposition for SMEs in market. It also opens the door for us to explore expansion into other strategic markets on the continent. We remain committed to our mission of empowering entrepreneurs and building tools that help small businesses thrive.”
The acquisition includes a comprehensive management lock-in to ensure managerial continuity and alignment with long-term growth objectives.
Want to know who is raising, investing, and exiting in Africa? Get Africa Private Equity News’ monthly Dealmaker’s Log – a database of reported investment deals, exits, and fundraising closes. Subscribe now