responsAbility backs Fawry in undisclosed dealAfrica Capital Digest


responsAbility Investments is backing Fawry, an Egyptian mobile payments platform on behalf on one of its private equity funds. The Zurich-headquartered development asset manager’s investment will be used to help the company accelerate the expansion of its cashless payments services, which are currently used by 20 million customers to perform a wide range of common transactions such as utility payments, mobile phone air-time top ups and merchant transaction. Terms of the deal were not disclosed.

Founded in 2009, Fawry has created a platform connecting all clients’ channels of payments including bank accounts, credit cards and mobile wallets with any of the 23 banks connected to its platform. In 2015, a consortium of led by Helios Investment Partners acquired a majority stake in Fawry in a deal that that valued the Egyptian e-payment services company at $100 million at the time.  According to Amwal Al Ghad at the time, Helios acquired approximately 40% of the shares, with MENA Long-term Value and the Egyptian-American Enterprise Fund taking 25% and 20% of the shares respectively. Management retained 10% of the shares with the balance being owned by the IFC.

With widespread mobile penetration in Egypt and the Egyptian Government’s plans to offer its citizens cashless payment options for a broad range of services such as social housing, driving licenses, traffic fines and transport, Fawry’s market opportunity is likely to be considerable. Given the company’s existing partnerships with the country’s leading companies and public institutions, it is well-placed to capture the additional market share offered by these developments.





Source link

No Comments

Post a Comment