Digital Payments Network MFS Africa Raises Additional $100 Million In Series C Round, Total Funding Now $200 Million

MFS Africa’s CEO Dare Okoudjou

MFS Africa, a pan-Africa digital payments network has raised an additional $100 million in equity and debt, bringing the total funds raised in its Series C funding round o $200 million.

The Series C extension round was led by Admaius Capital Partners and had participation from other investors such as existing backers AfricInvest FIVE and Commerz Ventures, and new investors: Vitruvian Partners and AXA Investment Managers.

In November last year, MFS Africa raised $100 million in what was an initial Series C funding round – $70 million in equity and $30 million in debt. The round was co-led by private equity fund AfricInvest FIVE, Goodwell Investments, and LUN Partners Group and also received participation from CommerzVentures, Allan Gray Ventures, and Endeavor Catalyst, and Endeavor Harvest.

According to a statement issued by MFS Africa, the new funding it received will be used to treat four objectives which include fueling its plans for expansion in Africa, further integrating into the global digital payment ecosystem, growing BAXI which it acquired last year, and to expand into Asia and create cross-border payments links with Africa via a partnership with LUN Partners.

Founded in 2009, MFS Africa seamlessly links mobile money users and service providers, providing access to simple, secure, affordable, and compliant mobile financial solutions for all. The company currently connects more than 320 million mobile money wallets across more than 35 African countries. It also covers a broad range of financial services around bank accounts, prepaid cards, and virtual debit cards.

“The strength of our business model is grounded on building a lasting digital infrastructure that unleashes and simplifies economic activities across the continent through any-to-any interoperability. Our multiple initiatives and solutions are providing access to Africans, at home and in the diaspora. We are building MFS Africa into a safe, sound, scalable, and high-impact pan-African payment infrastructure that will facilitate Africa’s rapidly growing commerce, both now and in the future,” CEO Dare Okoudjou said in a statement.

When it initially raised $100 million, MFS Africa said it intended to intensify its expansion efforts and establish more regional offices across Africa, the United States, and China adding that it was currently working on setting interoperability between payment networks in China and Africa, starting from Nigeria before spreading to other markets. It was also looking to hire more talents and bolster its Governance, Risks, and Compliance (GRC) functions and treasury and liquidity pool.