South African payment service provider PayFast has been sold to Kenya’s DPO Group in a cash and shares deal. PayFast management, including MD Jonathan Smit, will become shareholders in the Nairobi-based company.
PayFast, founded in 2007, uses a “facilitator model” to process payments through partner banks. The integration of PayFast into DPO’s services will allow merchants and consumers to carry out transactions across 18 countries in Africa from a single platform. DPO will now provide services to over 100 000 merchants in these markets.
“PayFast has the broadest range of shopping cart integrations in Africa and its Instant EFT service provides consumers with a secure alternative for making online payments,” DPO Group said in a statement on Tuesday.
“The integration of PayFast into DPO’s services will increase the range of payment options available to DPO’s business customers, while providing a pan-African solution to PayFast’s existing customer base.”
“PayFast is a natural fit for DPO Group and this deal strategically follows our acquisitions of PayGate, VCS, Paythru and SiD since 2016,” said DPO chairman and co-founder Offer Gat. “The combination of DPO Group and PayFast will greatly increase the ability of merchants on our platform to do business with their clients both within and outside of Africa.”
In 2016, DPO received investment from Apis Growth Fund I, a private equity fund managed by Apis Partners. The fund invests in innovators in the financial services sectors in Africa and Asia.
PayFast has 55 000 South African merchants on its books. — © 2019 NewsCentral Media
