Standard Bank co-funds top African fintech Optasia
Standard Bank is pleased to announce that it has co-funded Optasia with $175 million to facilitate their continued expansion into new geographies.
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By Standard Bank
Standard Bank is pleased to announce that it has co-funded Optasia with $175 million to facilitate their continued expansion into new geographies for both its Airtime-Credit business and Micro-Financing business.
Optasia is a global fintech company with a vision to build financial inclusion for all. Partnering with mobile network operators (MNOs), mobile wallet operators and financial institutions worldwide, Optasia enables them to provide financial access to end customers and small and medium enterprises (SMEs). With trustworthy solutions, the company creates new revenue opportunities through valuable services for individuals and entrepreneurs.
Optasia leverages data and artificial intelligence to enable micro-financing for underbanked populations in emerging markets. The company’s B2B2X financial technology platform allows them to build and offer a broad range of financial services, from consumer finance solutions to enterprise finance solutions, credit scoring, data science as a service and platform as a service.
Standard Bank acted in its capacity as joint arranger and joint funder in the transaction, which consists of a structured solution with a back-ended focus to support short- and medium-term strategic initiatives.
Optasia currently operates in more than 30 countries and continues to expand to new markets globally, with a focus on emerging economies. This transaction aims to support the company fund its accelerated growth plan over the next five years and empower its management team through access to growth capital in hard currency as they look to expand with existing partners as well as take on other geographical regions. Additionally, the transaction exemplifies our ability to provide bespoke and innovatively structured financing solutions to facilitate the realisation of Optasia’ s growth ambitions.
The company provides a range of solutions, which include:
– Micro lending solutions: which can be quickly embedded in the ecosystem of a business and give life to a growing number of highly composable products that address the credit needs of the customer base. This comprehensive embedded finance solution that streamlines the offering of micro-lending products, in a digital first model.
– Airtime and data advances: designed specifically for mobile network operators, these flexible go-to-market solutions are powered by an AI-led technology platform that delivers real-time scoring, supports omnichannel delivery and allows implementation of contextual and personalised marketing. With more than 30 airtime advance solutions live world-wide, Optasia leads the innovation in this space.
– Data monetisation solutions: this includes turn-key product-as-a-service solutions for mobile network operators to leverage on their data and create new revenue streams by serving the market with core financial infrastructure services. This scalable real-time processing engine infuses machine learning powered intelligence into the data workflow and translates it to data-driven marketing activity for own mobile network operator products (XtraCall) and actionable insights packaged in reports and delivered on request to 3rd parties (T-Score) over APIs (Application Programming Interface).
1.7 billion adults – most of them in emerging markets – remain underbanked, without proper access to traditional financial establishments. Optasia bridges this gap by empowering its partners to provide credible financial solutions where they are needed the most. Emerging markets are a space of clear opportunities to support local populations and SME’s, while enabling MNOs and other partners to grow.
Standard Bank is committed to enabling our clients to achieve their strategic endeavours and this Pan African partnership will allow access to funding to the under-banked and aspiring populous in emerging markets. We continue to support our client’s continued growth through the continent and beyond.
Standard Bank Group is the largest African bank by assets with a unique footprint across 20 African countries. Headquartered in Johannesburg, South Africa, it is listed on the Johannesburg Stock Exchange, with share code SBK, and the Namibian Stock Exchange, share code SNB.