South African fintech Lesaka snaps up Adumo in $86m deal
TLDR
- Lesaka Technologies in South Africa to acquire Adumo, a local payments startup, for $85.9 million.
- The deal is anticipated to be finalized in Q3 2024 pending shareholder and regulatory approval.
- Acquisition involves $12.5 million in cash and 17,279,803 shares of Lesaka stock to Adumo's shareholders.
Lesaka Technologies, a fintech company headquartered in South Africa, has entered into a definitive agreement to acquire Adumo, a payments startup also based in the country, in a deal said to be valued at around $85.9 million.
The acquisition, expected to close in the third quarter of 2024, is contingent upon approval from shareholders and regulatory authorities. Under the terms of the agreement, the transaction will be completed using a combination of $12.5 million in cash and the issuance of 17,279,803 shares of Lesaka common stock to Adumo's current "ultimate" shareholders.
The cash portion of the deal will be financed through a combination of external financing and internal cash reserves. Adumo's "ultimate" shareholders include Apis Growth Fund I, a private equity fund managed by UK-based VC Apis Partners, and African Rainbow Capital (ARC), a South African investment firm.
Points clés à retenir
This acquisition solidifies Lesaka's position as a significant player in the Southern African fintech sector. With the combined resources, the entity will now cater to over 1.7 million active consumers and 119,000 merchants spread across five countries: South Africa, Namibia, Botswana, Zambia, and Kenya. Following its $15 million funding round from IFC in 2021, Adumo embarked on an acquisition spree, acquiring companies such as SwitchPay, WireCard, GAAP, SureSwipe, iKhokha, and several other smaller payment firms. Africa is anticipated to experience rapid growth in the fintech market throughout this decade, with a projected fintech revenue compound annual growth rate (CAGR) of 32% until 2030. This growth will be driven by the establishment of new ventures as well as the consolidation of both smaller and larger players in the industry.
Vous pensez que quelqu'un d'autre devrait voir ça ?
Investir dans cette opportunité et dans d'autres opportunités à travers l'Afrique
Téléchargez l'application daba finance sur votre mobile via
Passer à l'action.
Télécharger l'application
Entrez en partenariat avec nous
Débloquez des opportunités commerciales passionnantes et un potentiel de croissance.
Rejoindre Daba
Devenez membre de notre communauté dynamique et profitez d'avantages exclusifs.
Contactez-nous
Contactez-nous pour toute demande de renseignements, assistance ou collaboration.