Over $970,612,550 have been invested in African Startups in 2024. An amount drastically shy of 2023’s $2.8 billion and far away from 2021’s $4.3 billion.
Egypt’s Dopay, South Africa’s TurnStay, and Kenya’s d.light have announced new investments totaling $189.8M
Dopay a digital payroll and payments platform serving the unbanked and the underbanked workers in emerging markets, has announced the closing of a strategic USD 13.5 M Series A extension round.
The funding tops up a previous USD 18 M Series A round raised in 2021. Argentem Creek Partners led the new round with participation from existing investors.
Founded in 2014 by Frans van Eersel and Ahmed Nassef, Dopay, part of Hub71, offers a virtual banking platform that digitizes cash payments from employers to workers and other beneficiaries. Each account is equipped with a prepaid debit card, in partnership with Mastercard, providing 24/7 access to funds via ATM withdrawal.
Enrolled businesses benefit from a secure and cashless payroll system, with user-friendly interfaces and complete transparency. Employees gain instant and secure access to banking facilities, regardless of their earnings.
d.light Raises $176 Million
Kenya’s d.light, a company that provides solar-powered products, has raised about US$ 176 million to upscale its PayGo consumer finance offering to broaden its operations across Kenya, Uganda, and Tanzania.
The funding was provided by asset management company, African Frontier Capital to accelerate d.light’s distribution model that will see more low-income households benefit from renting and owning solar-powered equipment.
The multi-currency facility will oversee the company’s plans to provide about six million East Africans who need solar-powered appliances, with the products over the next three years.
d.light was founded in 2007 and since 2020, it has secured about US$ 718 million across five facilities to establish its foothold in Sub-Saharan Africa.
TurnStay Raises $300,000
South African travel-focused fintech, TurnStay.com, which is working to radically reduce the cost of getting paid for African merchants and platforms in travel and tourism by harnessing the same ‘tricks’ used by the world’s biggest booking companies has secured over R5.4 million(USD 300 K) funding from Silicon Valley and New York-based investors: DFS Lab and DCG.
The company plans to use the funding to expand the business into Africa and build on the significant traction already achieved.
TurnStay.com was founded by experienced entrepreneurs Alon Stern, co-founder of Slide Financial, and James Hedley, co-founder of Quicket, TurnStay’s benefits include lower card fees, a better checkout experience, and more direct bookings, which allows properties to compete with online travel agencies with improved conversion rates.
We are halfway through the year and African startups have closed 50% of what they received in 2023. Is this encouraging enough for the industry?
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