Africa’s leading payment gateway, Interswitch has received $110 million in joint investment from LeapFrog investments and Tana Africa Capital to help the digital company scale up its services across the continent.
This development was made known in a public statement released by both LeapFrog investments and Tana Africa on Wednesday.
“LeapFrog Investments (“LeapFrog”) and Tana Africa Capital (“Tana”) today announced a strategic investment in Interswitch, one of Africa’s leading technology-driven companies focused on the digitisation of payments. The investment will assist in supporting the company’s drive to advance the payment ecosystem across the continent,” the statement reads.
“Alongside existing investors, LeapFrog and Tana will work with management to continue to drive Interswitch’s pan-African strategy, as it looks to access new customers across the continent, innovate with new products and services, and support its financial inclusion strategy.”
Interswitch expressed its excitement at this development via a statement released by the CEO of the company, Mitchell Elegbe. “We are excited to welcome Leapfrog and Tana on board, as we continue our work to advance the future of the African payments landscape,” he said.
LeapFrog investments and Tana Africa both highlighted the significance of their partnership with the company, affirming their support.
“Interswitch, a pioneer in the African payments ecosystem, has been disrupting the cash economy, driving digital payments and promoting equitable financial inclusion in Nigeria for two decades,” Karima Ola, Partner, Head of Africa Financial Services, LeapFrog Investments said. “This investment by LeapFrog affirms the formidable talent at Interswitch, and how well-placed it is to seize the significant opportunity in Africa’s evolving digital payments landscape. LeapFrog is proud to be partnering with Interswitch to further enhance their innovative, digital capabilities to deliver sustainable scale, whilst positively impacting the lives of millions of people and businesses across the region.”
Mark Tindall, Managing Director and CEO at Tana Africa said: “Interswitch has developed a strong position at the nexus of Nigeria’s payments ecosystem, underpinned by an offering which is primed for continued growth. The business’ evolution is a testament to management’s track record and tenacity. Alongside LeapFrog, we look forward to supporting Interswitch’s next chapter through continued product innovation and growth across the African continent.”
Interswitch, founded in 2002, is a digital payment platform which established Nigeria’s first transaction and switching infrastructure, paving the way for payment acceptance across the country. The company’s last funding round was in 2019 when VISA acquired a 20% stake, valued at $200 million, and helped it become Africa’s second unicorn.
The company is renowned for its products Quickteller and Verve and has grown astronomically since its launch, becoming one of Africa’s leading digital payment systems with a value of $1 billion.
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