Australian VC firm backs African fintech company
The Australian venture capital firm TEN13 has invested an undisclosed amount of pre-seed funding in ImaliPay, an African-based fintech startup. Other investors that participated in the raise include: Finca Ventures, Optimiser Foundation, Mercycorps Ventures, Changecom, and angels from Norway, Nigeria, UK and Kenya.
The primary aim of the investment is to expand and accelerate its growth and footprint in Kenya, Nigeria and South Africa to be the one-stop-shop for gig workers’ financial needs.
The growth in the African gig workforce is being propelled by the growth in digitisation and smartphone penetration. Gig workers constitute a significant proportion of the economy within ImaliPay’s target markets and this market segment is expected to grow rapidly over the next decade. ImaliPay offers gig workers a one-stop-shop of financial services such as the ability to seamlessly save their income and receive in-kind loans through a ”buy now, pay later” model tied to their trade. For instance, Bolt drivers in Kenya can now request a fuel loan and pay back the amount after three to four days, while Safeboda riders in Nigeria can buy bike parts, fuel, and smartphones on credit to reduce any downtime. Other products to be offered on the platform include insurance and investment options.
ImaliPay was co-founded in 2020 by Zimbabwean Tatenda Furusa and Nigerian Sanmi Akinmusire who met whilst working at payments company Cellulant. They believe the backing of the startup by a notable venture capital company such as TEN13 has tremendous benefits. ”It’s a great opportunity for investors to participate in the fintech revolution and a fast-growing segment. Our vision at ImaliPay is to advance financial health and inclusion for gig workers who struggle to manage and access flexible financial services that are often only available to traditional SMEs,” said Furusa.
Are you seeking private equity or venture capital investment to grow your company? Africa Private Equity News now offers you the opportunity to connect with investors backing African businesses. Contact us at editor@africaprivateequitynews.com for our rate card and more information.