Nigerian fintech startup, OPay has raised $120 million in a Series B funding round, putting the total funds raised since launch in May 2018 at about $200 million. The funding was led by Series B investors which include Meituan-Dianping, GaoRong, Source Code Capital, Softbank Asia, BAI, Redpoint, IDG Capital, Sequoia China and GSR Ventures.
Originally founded and incubated by Opera, OPay has grown from a payments company to a jack of all trades intent on becoming a super app. In addition to its wallets and payment services, the company operates a bike hailing service (ORide), a food delivery service (OFood) and wealth management solution (OWealth). In Nigeria, it operates Opera’s lending service, OKash.
According to Opera’s CFO, Frode Jacobsen, he disclosed that the fund would be deployed towards OPay’s high-frequency use services like transportation, food, and other daily priority services. Opera’s CEO and OPay’s chairman, Yahui Zhou, also stated that the fund would facilitate OPay’s expansion into African countries with favourable fintech ecosystems including Ghana, South Africa, and Kenya.
“Opay will facilitate the people in Nigeria, Ghana, South Africa, Kenya and other African countries with the best fintech ecosystem. We see ourselves as a key contributor to helping local businesses thrive, from digital business models.”
OPay’s $120m round comes after the start-up raised $50m in June this year and follows Visa’s $200m investment in Nigerian fintech company Interswitch and a $40m funds raised by Lagos-based payments start-up PalmPay — led by China’s Transsion. Since its first raise, OPay has scaled to 140,000 active agents and $10 million in daily transaction volume, according to the company’s stats.