Cash plus - Afrikan Heroes

After a Major Exit in 2021, Investors Plot a Comeback in Morocco’s Cash Plus

November 20, 2023

In a strategic move signaling a comeback to the Moroccan financial landscape, investment fund Mediterrania Capital Partners, in collaboration with a consortium of investors, is eyeing a return to the capital of Cash Plus, a prominent payment institution in Morocco.

Mediterrania Capital Partners, known for its focus on SMEs and medium-sized enterprises in Africa, had previously entered the capital of Cash Plus in 2014, acquiring a significant 49% stake. However, the private equity firm exited its investment in February 2021. Now, it aims to re-establish its presence by jointly acquiring a majority stake in Cash Plus, according to an announcement made by the Competition Council of Morocco on Thursday, November 16.

The proposed acquisition involves a consortium of notable entities, including the International Finance Corporation (IFC), the FMO, and five other private entities. The specific share allocations for each participant have not been disclosed. The formation of a new company, MC IV Money, has been confirmed for the sole purpose of facilitating this investment in Cash Plus.

Mediterrania’s return to Cash Plus had been under speculation since early November, and the recent announcement confirms their intention to rejoin the shareholding structure. The private equity firm had previously sold its shares in Cash Plus in February 2021, following which it had hinted at potential reinvestment.

This investment initiative aligns with Mediterrania’s recent activities, including a €15 million investment from its latest fund, MC IV Fund. The fund has already seen successful investments in pharmaceutical company Laprophan and, notably, in Cash Plus. These moves underscore Mediterrania’s commitment to bolstering the financial landscape in Morocco.

Cash Plus, founded in 2004 and currently owned by the Tazi and Amar families, operates as a leading payment institution in Morocco. Offering a range of financial and para-financial services, from money transfer to bill payments, Cash Plus has been a significant player in the local financial market for nearly two decades.

The success of this proposed acquisition could reshape the ownership structure of Cash Plus and potentially enhance its capacity to expand and innovate within the dynamic financial services sector.

Senegalese Agtech Startup Tolbi Raises Funding to Drive AI-Powered Precision Agriculture

Charles Rapulu Udoh

Charles Rapulu Udoh is a Lagos-based lawyer, who has several years of experience working in Africa’s burgeoning tech startup industry. He has closed multi-million dollar deals bordering on venture capital, private equity, intellectual property (trademark, patent or design, etc.), mergers and acquisitions, in countries such as in the Delaware, New York, UK, Singapore, British Virgin Islands, South Africa, Nigeria etc. He’s also a corporate governance and cross-border data privacy and tax expert.
As an award-winning writer and researcher, he is passionate about telling the African startup story, and is one of the continent’s pioneers in this regard

CASH PLUS Gains $60M Boost to Expand Digital Financial Services in Morocco

October 19, 2023

Mediterrania Capital Partners, a distinguished Private Equity firm specializing in growth investments for Small and Medium Enterprises (SMEs) and mid-cap companies across North Africa and Sub-Saharan regions, is pleased to announce a substantial €57 million ($60M) investment in Morocco’s prominent financial services provider, CASH PLUS. This transformative investment is made in collaboration with FMO, the entrepreneurial development bank from the Netherlands, and IFC, a member of the World Bank Group.

CASH PLUS has emerged as a prominent player in the financial services sector, offering a wide array of online payment and transfer services. With over 3,600 physical locations spanning Morocco, it has solidified its standing as one of the nation’s largest financial service providers. The combined €57 million equity investment is poised to propel CASH PLUS further, allowing them to expand their network of branches both nationally and internationally. Additionally, the funding will bolster the company’s digital financial services offerings, with particular focus on enhancing its M-Wallet application, which currently caters to more than 1 million customers. The overarching goal of this investment is to enhance financial inclusion throughout Morocco.

Hatim Ben Ahmed, Managing Partner at Mediterrania Capital Partners, expressed his enthusiasm, saying, “We’re thrilled to be backing Cash Plus management in its ambitious development strategy. CASH PLUS has emerged as one of the continent’s fastest-growing financial institutions, and Mediterrania Capital will provide support in creating additional value for customers and stakeholders.”

Albert Alsina, Founder and CEO at Mediterrania Capital Partners, added, “We are delighted to be part of this project alongside our long-time partners, IFC and FMO. CASH PLUS is a company that we know well and which fully embodies our mission of improving people’s lives through responsible investments. With its strong track record of promoting financial inclusion and providing access to essential financial services to underserved communities in Morocco, CASH PLUS stands as an innovative company with a powerful vision. Together with IFC and FMO, we aim to support CASH PLUS in expanding its reach and enhancing its services, ultimately benefiting the people of Morocco and fostering economic development.”

Nabil Amar, Chairman of the Board of Directors of the CASH PLUS Group, shared, “For 20 years, CASH PLUS has been a trusted partner serving its customers with a high innovation drive and over 3,600 points-of-sale, showing our commitment to accessibility and financial inclusion in Morocco. We greatly appreciate our esteemed partners, Mediterrania Capital Partners, IFC and FMO, for their unwavering belief in our vision. Together, we’re taking another significant step towards progress, inclusion, and building a brighter and more prosperous future for all.”

Mediterrania Capital Partners’ investment in CASH PLUS marks a pivotal milestone for MC IV, following its earlier investment in Laprophan, one of the largest pharmaceutical companies in Morocco in May 2023. Mediterrania Capital Partners has been an active presence in Morocco since 2013, with investments spanning across the Financial Services, Retail, Education, Construction, IT, FMCG, and Healthcare sectors. This latest investment reinforces their commitment to fostering growth and prosperity in the region.

Bitcoin’s Jump Hints at Trader ‘Playbook’ for ETF Launches

Charles Rapulu Udoh