Nigerian payments startup company, Flutterwave has hit $1bn in valuation, after securing an almost $170m Series C funding.
The company announced the impressive feat in a statement on Wednesday, as it appreciated those who have stayed true to its cause in its four-and-a-half years journey.
The company secured the funding from growth equity firms, Avenir Growth Capital and Tiger Global Management, with participation from new and old investors, thereby becoming Africa’s third fintech unicorn in the process.
Flutterwave joins payments giant, Interswitch and Egypt’s Fawry as the only fintech unicorns in Africa. Flutterwave’s Series C was led by New York-based private investment firm, Avenir Growth Capital and US hedge fund and investment firm, Tiger Global.
Recall, the fintech startup had closed a $35 million Series B in 2020, two years after raising $20 million Series A funding.
Founded in 2016 by entrepreneur, Olusegun ‘GB’ Agboola who is currently the company’s CEO, the latest funding brings the total investment into Flutterwave to $225m. It is just one of few Africa fintechs to have been able to hold it’s own and secure funding at a dire economic period.
Flutterwave has said the new funding will be key in seeing it expand its reach, as it will go on an ambitious growth strategy to become a global leading payments company. The money according to the company will also help in securing faster customer acquisition in its local and international markets as it finalises plans to launch a mobile app to accelerate its e-commerce growth.
Buoyed by its huge $170 million chest, Flutterwave plans to venture into the North African payments space. Already present in up to 20 African countries including Nigeria, Ghana, Kenya, South Africa, Uganda and Tanzania, the company now wants to capture the North African market.
Flutterwave has identified the shift in systems as a result of COVID-19 for the fundraise as people have shifted to digital payment systems. The company had a revenue growth of 226% Compound Annual Growth Rate (CAGR) between 2018 and 2020.