MFS Africa, a digital payments platform, has raised $100 million in Series C funding. The funds raised in the form of equity ($70 million) and debt ($30 million) will be used to assist the company’s African expansion, which enables cross-border payments across the continent. This is the biggest fundraise by MFS Africa since it began operations in 2019.
This latest round of funding increases the company’s total equity financing raised to little over $95 million since its inception in 2009. New investors, including CommerzVentures, Allan Gray Ventures, Endeavor Catalyst, and Endeavor Harvest, joined the business in addition to existing shareholders who extended their stakes.
“This fundraising demonstrates once again our commitment and the breadth of our ambitions […] This round of funding marks the start of a new phase of expansion. We appreciate the trust placed in us by our long-time investors, and are delighted to welcome our new investors,” Dare Okoudjou, Founder and CEO of MFS Africa said.
With the funding, the company plans to expand into new African countries, develop its personnel, and maintain its investments on the continent.
This is the first investment in Africa by German VC CommerzVentures.
The fintech, which plans to create new offices “in significant African countries as well as in China and the United States” by 2020, has already expanded its operations to Côte d’Ivoire, Uganda, the Democratic Republic of the Congo, and Kenya in particular.
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The company, which has relocated its headquarters from Mauritius to London, plans to expand its workforce both within and outside of Africa. A portion of the funds will be utilized to enhance the company’s treasury and fund investments in African technology and payment startups.
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MFS Africa, which claims to have over 320 million mobile accounts in over 35 African nations, plans to expand its mobile payments business on the continent. He said in April that Sub-Saharan Africa is the most developed market for mobile payments, with two-thirds of worldwide transactions expected to be done via mobile by 2020.
MFS Africa Series C MFS Africa Series C
Charles Rapulu Udoh
Charles Rapulu Udoh is a Lagos-based lawyer who has advised startups across Africa on issues such as startup funding (Venture Capital, Debt financing, private equity, angel investing etc), taxation, strategies, etc. He also has special focus on the protection of business or brands’ intellectual property rights ( such as trademark, patent or design) across Africa and other foreign jurisdictions.
He is well versed on issues of ESG (sustainability), media and entertainment law, corporate finance and governance.
He is also an award-winning write