Despite the gruesome happenings across Nigeria in recent time, Stripe, a United States payments firm has acquired Paystack, a Nigerian fintech startup, thereby making the company the most successful startup at the moment. This however is in a bid to develop into the online market in Africa which is seen to be expanding rapidly in recent times.
The purchase which amount to a huge sum of about $200 million showcases the fast-growing online commerce market in Nigeria and Africa at large.
Recall when Stripe invested in Paystack some years ago, there arose differing assumptions as to whether Stripe intends exploring the company. However, these assumptions have become a reality after several years of understanding the market as Stripe has eventually bought Paystack for a mind-blowing sum of 200,000,000 USD making the Nigerian CEO and CTO multi-millionaires in a twinkle of an eye.
The acquisition of Paystack by Stripe didn’t mean that the company will be operated by Stripe, nevertheless it will continue to function autonomously and grow their operations in Africa, thereby including more intercontinental imbursement approaches.
It is however important to note that the procurement is subject to standard closing conditions, which includes regulatory approvals.
What You Should Know About Paystack
Paystack, a tech company birthed in 2015 which came into limelight in the early days of 2016 was founded by Shola Akinlade (CEO) and Ezra Olubi (CTO). The firm engineers growth for commercial businesses in Africa and its major function is to help the trades get remunerated by anyone at any time and at everywhere across the universe.
These commercial businesses however use Paystack to accept both online and offline payments via payment channels including, USSD, ATM cards, QR code, mobile money and many more. Record shows that Paystack is the first Nigerian company to be accepted into ycombinator.
Furthering, the trades also depend on Paystack’s API for all kinds of transactions ranging from transfers to automated user verification.
According to report, above 50% of all web payments across Nigeria are processed by Paystack, hence, powering payments for over 60,000 organizations which include, MTN, UPS, FedEx and a host of many others.