Nigeria’s Payment Application Developer TechAdvance Raises USD 1 Mn To Support Expansion
TechAdvance, a Lagos-based payment application development company has secured USD 1 Mn in corporate funding at a valuation of USD 20 Mn. The investment was made by Bahrain-based energy investment company Lamar Holding and will help the Nigerian firm scale operations.
The developer startup operates a network of subsidiaries, each of which focuses on different verticals in emerging markets. TechAdvance concerns itself with utility payments, transportation software, and digital financial services.
The company strategically focuses on the development and deployment of niche payment companies to serve the needs of large public and private sector organizations in emerging markets.
The new investment will help the company supports its strategic goal to substantially expand its global expansion. According to Lamar, who made the announcement, the investment in the Nigerian tech firm broadens its portfolio into the technology industry, while giving its a foothold into the African continent.
TechAdvance was founded by Edmond Olotu in 2009. Currently in its tenth year, the firm was recognized as one of the top companies to Inspire Africa in the London Stock Exchange Group’s Report for 2019.
The company’s subsidiaries include GPay, a payment provider for corporate clients, and Transfer2Africa, an online money transfer platform, Ace Remittance, PayElectricBills and Data Analytics. So far, its tactic of targeting many different market niches with dedicated divisions has proved fruitful for the group. Its utilities-focused subsidiaries are reported to have performed quite well over the last few years.
By way of its subsidiaries, TechAdvance recently acquired a microfinance bank and received approval in principle for a Payment Solution Service Provider (PSSP) license from the Central Bank of Nigeria.
What’s more, the company has also been approved by the Central Bank of Bahrain to operate in the country, which is a sign that the development firm is intentional about growing beyond Nigeria and Africa.
Hani Abdulhadi, Vice President at Lamar Holding, commented, “We are delighted to make this investment in one of Nigeria’s most exciting and innovative companies.
This is an opportunity for Lamar and TechAdvance to collaborate and distribute its expansive suite of digital solutions to emerging markets in Africa and the Middle East.”
Founder and CEO of TechAdvance, Edmund Olotu commented, “The payments space in emerging markets is buzzing with opportunities but faces a number of major barriers. These funds will allow us to shift our focus to these opportunities – especially the launch of our digital bank, without compromising our existing business lines.”
