A Fintech Powerhouse's Expansion Journey
Founded in 2018, South African fintech Ukheshe Technologies has become a key player in the financial services sector, collaborating with banks, telcos, and financial service providers to deliver innovative digital payment solutions to a global audience. In a bid for international expansion, Ukheshe secured an undisclosed Series A funding round in late 2022, establishing its presence in South Africa, London, Mauritius, Kenya, India, and the United Arab Emirates.
The Latest Move: Full Ownership of EFTCorp
In a significant development, Ukheshe Technologies has acquired full ownership of EFTCorp, a seasoned player in the financial market with a remarkable 23-year history. EFTCorp, renowned for serving approximately 35 African markets and providing end-to-end payment solutions to over 100 banks, stands to benefit from Ukheshe's prowess in digital wallets, digital onboarding, KYC (Know Your Customer), and various payment channels.
A Symbiotic Partnership Unleashing New Possibilities
Ukheshe's expertise is set to unlock fresh opportunities for EFTCorp's traditional clients, offering them a seamless transition into the realm of cutting-edge digital services. This strategic partnership ensures that EFTCorp's clients retain their association with a trusted brand while gaining access to an expanded array of digital solutions.
EFTCorp's CEO Seeks Digital Strategy Support
EFTCorp's CEO, expressing the need for a partner to support and enhance the company's digital strategy, found the ideal collaborator in Ukheshe. The acquisition is a testament to the strategic alignment of both companies, poised to leverage their combined strengths to serve the dynamic African market.
Seizing Opportunities in a Growing Digital Payment Landscape
Ukheshe's co-founder and CEO, Clayton Hayward, sees the acquisition as a strategic move in a market ripe for consolidation and disruption. With the digital payments market in South Africa projected to reach $21.81 billion in 2024 and $32.06 billion by 2027, Ukheshe and EFTCorp have positioned themselves as key contributors to the burgeoning digital payment landscape.
Ukheshe's Trail of Innovations
In 2023, Ukheshe rebranded its previously acquired Masterpass as Scan to Pay, facilitating the expansion of QR code transactions in the region. Notably, the Scan to Pay platform now embraces cryptocurrency payments, showcasing Ukheshe's commitment to staying at the forefront of digital payment trends.
A Multi-Faceted Approach to Digital Transformation
Ukheshe's journey extends beyond acquisitions, with strategic partnerships playing a pivotal role in its growth. In August 2023, Ukheshe collaborated with Diamond Trust Bank (DTB) to introduce a Banking-as-a-Service (BaaS) platform in East Africa, further solidifying its position as an influential player in the financial technology landscape.
As Ukheshe and EFTCorp embark on this collaborative journey, the African digital payment landscape witnesses the fusion of expertise, innovation, and a shared commitment to shaping the future of financial services on the continent. This strategic move not only marks a milestone in the companies' evolution but also signifies a transformative phase in Africa's digital financial ecosystem.