Fintech Zeepay enters Zambia with the acquisition of 51% stake in Mangwee Mobile Money

ZAMBIAGhanaian Fintech firm Zeepay, a mobile financial services company focused on providing integrated mobile payments services with mobile wallets, has acquired a 51% majority stake in Mangwee Mobile Money, signalling its official entry into the Zambian market.

The deal for an undisclosed amount is part of Zeepay’s strategy to expand footprint across Africa.

The deal makes Zeepay Ghana the majority shareholder of the entity.

Mangwee has been in operation since 2018 and was initially set up to operate as an alternative wallet to reduce the cost of mobile services for University students in Zambia.

Zeepay specialises in remittance services via mobile wallets across Africa and is regulated by the Bank of Ghana as an electronic money insurer (EMI) and in the UK as mobile money transfer operator by the Financial Conduct Authority.

The acquisition of Mangwee is strategic and opens up the Southern African corridor for Zeepay, it will give Zeepay access to Mozambique, Malawi, Angola and Namibia amongst others in our effort to capture Africa’s US$70 billion remittance market”

Andrew Takyi Appiah – Managing Director, Zeepay

Zeepay managing director Andrew Takyi Appiah said, “In 2020, we processed 2.4 million transactions valued at US$400 million across 10 markets. The acquisition of Mangwee is strategic and opens up the Southern African corridor for Zeepay. This will give Zeepay access to Mozambique, Malawi, Angola and Namibia amongst others in our effort to capture Africa’s US$70-billion remittance market.”

Founders of Mangwee Mobile Money Bwalya Kampamba and Aston Njobu released a joint statement and said: “The partnership with Zeepay is good for Africa and Zambia. Through this, we will be able to leverage their award winning mobile money products such as remittance insurance, payments and Visa-direct to deepen financial inclusion and open up the markets.”

The merger is the first of its kind; that two Indigenous African fintechs into Mobile Money operations have come together to grow, representing a wind of change ongoing on the African continent.

Zeepay’s financial advisor Verdant Capital, acted as Zeepay’s M&A advisor on the acquisition.

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