Zeepay, a Ghanaian fintech, has completed a USD7.9 million Series A funding round, to support its activities, the funding is a mix of equity and balance sheet capital.
In 20 African markets, Zeepay facilitates digital remittances from the diaspora to mobile wallets, bank accounts, and visa cards.
The USD3 million fund raise was spearheaded by I&P, an impact investing firm with over USD250 million in assets under management, and supported by ARK Holdings, a privately held family investment portfolio on behalf of Andrew Takyi-Appiah (Managing Director) and Zoe Takyi-Appiah.
GOODsoil VC, an early-stage venture capital fund focused on Africa, made a USD800,000 follow-on investment and was advised by Obsidian Achernar, a financial services firm licensed by the Bank of Ghana.
Verdant Capital and JLD & MB legal Consultancy served as legal consultants for this fundraising.
The company raised USD3.3 million in debt, headed by Absa Bank Ghana in the amount of USD1.8 million and supported by First National Bank Ghana in the amount of USD1.5 million, to drive balance sheet activities primarily for liquidity needs.
Prior to the fund campaign, Zeepay had successfully deployed a total of USD450,000 since its go-to-market in May 2016, achieving a cumulative average growth rate of around 146 percent over the five years leading up to these transactions.
Managing Director and Founder of Zeepay Andrew Takyi-Appiah remarked, “An exciting narrative on the continent, full of promise and inspiration for the New African – that is, the young African eager to forge their own path through businesses across the Continent.”
“Our Series A.0 raise of USD7.9 million gives Zeepay a strong capital table ahead of closing our Series A.5 in the coming months,” he continued. I’m proud to say that the raise comes just as we’ve completed the relocation into our new commercial property in Accra. I believe that God’s grace is responsible for our success. Indeed, I wish our Founding Chairman, Dr. Anthony Kwasi Appiah, were here today to witness the signing of this agreement. He was instrumental in bringing the company to where it is now. May his soul rest in peace for the time being. I’d also like to use this occasion to express my gratitude to Mr. Kwame Achampong-Kyei and the GLICO Group for their unwavering support over the previous five years.”
“Our aim remains to advance our remittance to digital assets agenda across Africa and the Caribbean, and we are excited by the rate of expansion,” said Zeepay Chairman Mr. Yankey. We’ve set up a number of strategic acquisitions that we expect to close before the end of the year. We are excited to expand our operations beyond our existing 20 nations and grow our active 30-day business from 13 to 20 or more markets across Africa. Indeed, the Payment Systems Act 2019, which has been a very progressive Government initiative, would not have been feasible without the passage of the Payment Systems Act 2019.”