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Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa - Business (2) - Nairaland

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Stripe Acquires Paystack For $200M+ / What Business Can I Start With 1 Million To Make 5k Daily? / Union Bank Secures $200 Million OPIC Funding For Smes And Women Initiatives (2) (3) (4)

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Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by AllOfUsAtManna(f): 4:08pm On Oct 15, 2020
vixpal:
Yoruba, making Nigeria Proud
yes ooo
real yerobas not yeroba Muslims
Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by TheGreatIYANU: 4:08pm On Oct 15, 2020
Please encourage your Children to study courses that mean something in 2020.

7 Likes

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by Queenyprinxex(f): 4:08pm On Oct 15, 2020
southniyikaye:
One of my regrets in life, rejecting computer science for biosystems engineering..
Shey now, me self for dey create apps worth millions of dollars
Who told you computer scientists are app developers? or that you need a degree to be one?

12 Likes

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by Karleb(m): 4:08pm On Oct 15, 2020
All I see in that picture are

#EndSARS

#EndSarsNow

#SARSMUSTEND

#EndPoliceBrutality

#EndYouthProfiling


Who would have thought a guy on dread would be a co-founder of a $200, 000, 000 plus company?

6 Likes

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by degreatstalion: 4:09pm On Oct 15, 2020
Congratulations to Paystack.

2 Likes

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by tensazangetsu20(m): 4:09pm On Oct 15, 2020
Wasn't it laptops that was used to create paystack? Only heaven knows how many future paystack's have been destroyed by the demonic SARS.

17 Likes 1 Share

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by Iolo(m): 4:09pm On Oct 15, 2020
Very good for the ecosystem. Drives confidence for more investors to come in.

2 Likes

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by Luftwaffe(f): 4:09pm On Oct 15, 2020
southniyikaye:
we all make naive decisions when we were younger... We study what they want us to study but not what we wanted to study...
If you get sense, you should've been able to deduce sense from my post
There is no sense in your post. You were forced to study biosystems engineering, we don hear. WHAT HAVE YOU ACCOMPLISHED WITH IT?

4 Likes

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by bluefilm: 4:09pm On Oct 15, 2020
Wow!

I love paystack.

I hope Stripe will offer even a better service.

2 Likes 1 Share

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by pickatyou2: 4:09pm On Oct 15, 2020
Sars come see new yahoo guys o.

EndSars
Endswat

2 Likes

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by Luftwaffe(f): 4:10pm On Oct 15, 2020
Queenyprinxex:

Who told you computer scientists are app developers? or that you need a degree to be one?

I tire oo
Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by ClassicMG(m): 4:11pm On Oct 15, 2020
If police see this one with laptop and dread now na yahoo boy to them

4 Likes

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by WalkerMichael(m): 4:11pm On Oct 15, 2020
big cashout. congratulations guys.
sars will see that dread guy and tag him a Yahoo boy.
#ENDSARSNOW !!!!!

2 Likes

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by Goldencheese(m): 4:11pm On Oct 15, 2020
It is not too late to start learning how to program. It's even easier now.

southniyikaye:
One of my regrets in life, rejecting computer science for biosystems engineering..
Shey now, me self for dey create apps worth millions of dollars

Modified - - - -una go Everly get issue with my personal regrets and decisions..
As I dey regret am now, he give una headache? Na your regret? Na my mistake? abeg let me regret my regret in peace biko

2 Likes

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by PWAPUTI2010: 4:11pm On Oct 15, 2020
When Stripe announced earlier this year that it had picked up another $600 million in funding, it said one big reason for the funding was to expand its API-based payments services into more geographies. Today the company is coming good on that plan in the form of some M&A.

Stripe is acquiring Paystack, a startup out of Lagos, Nigeria that, like Stripe, provides a quick way to integrate payments services into an online or offline transaction by way of an API. (We and others have referred to it in the past as “the Stripe of Africa.”)

Paystack currently has around 60,000 customers, including small businesses, larger corporates, fintechs, educational institutions, and online betting companies, and the plan will be for it to continue operating independently, the companies said.

Terms of the deal are not being disclosed but sources close to it confirm that it’s over $200 million. That makes this the biggest startup acquisition to date to come out of Nigeria, as well as Stripe’s biggest acquisition to date anywhere. (Sendwave, acquired by WorldRemit in a $500 million deal in August, is based out of Kenya.)

It’s also a notable shift in Stripe’s strategy as it continues to mature: typically, it has only acquired smaller companies to expand its technology stack, rather than its global footprint.

The deal underscores two interesting points about Stripe, now valued at $36 billion and regularly tipped as an IPO candidate (note: it has never commented on those plans up to now). First is how it is doubling down on geographic expansion: even before this news, it had added 17 more countries to its platform in the last 18 months, along with progressive feature expansion. And second is how Stripe is putting a bet on the emerging markets of Africa specifically in the future of its own growth.

“There is enormous opportunity,” said Patrick Collison, Stripe’s co-founder and CEO, in an interview with TechCrunch. “In absolute numbers, Africa may be smaller right now than other regions, but online commerce will grow about 30% every year. And even with wider global declines, online shoppers are growing twice as fast. Stripe thinks on a longer time horizon than others because we are an infrastructure company. We are thinking of what the world will look like in 2040-2050.”

For Paystack, the deal will give the company a lot more fuel (that is, investment) to build out further in Nigeria and expand to other markets, CEO Shola Akinlade said in an interview.

“Paystack was not for sale when Stripe approached us,” said Akinlade, who co-founded the company with Ezra Olubi (who is the CTO). “For us, it’s about the mission. I’m driven by the mission to accelerate payments on the continent, and I am convinced that Stripe will help us get there faster. It is a very natural move.”

Paystack had been on Stripe’s radar for some time prior to acquiring it. Like its US counterpart, the Nigerian startup went through Y Combinator — that was in 2016, and it was actually the first-ever startup out of Nigeria to get into the world-famous incubator. Then, in 2018, Stripe led an $8 million funding round for Paystack, with others participating including Visa and Tencent. (And for the record, Akinlade said that Visa and Tencent had not also approached it for acquisition. Both have been regular investors in startups on the continent.)

In the last several years, Stripe has made a number of investments into startups building technology or businesses in areas where Stripe has yet to move. This year, those investments have included backing an investment in universal checkout service Fast, and backing the Philippines-based payment platform PayMongo.

Collison said that while acquiring Paystack after investing in it was a big move for the company, people also shouldn’t read too much into it in terms of Stripe’s bigger acquisition policy.

“When we invest in startups we’re not trying to tie them up with complicated strategic investments,” Collison said. “We try to understand the broader ecosystem, and keep our eyes pointed outwards and see where we can help.”

That is to say, there are no plans to acquire other regional companies or other operations simply to expand Stripe’s footprint, with the interest in Paystack being about how well they’d built the company, not just where they are located.

“A lot of companies have been, let’s say, heavily influenced by Stripe,” Collison said, raising his eyebrows a little. “But with Paystack, clearly they’ve put a lot of original thinking into how to do things better. There are some details of Stripe that we consider mistakes, but we can see that Paystack ‘gets it,’ it’s clear from the site and from the product sensibilities, and that has nothing to do with them being in Africa or African.”

Stripe, with its business firmly in the world of digital transactions, already has a strong line in the detection and prevention of fraud and other financial crimes. It has developed an extensive platform of fraud protection tools, but even with that incidents can slip through the cracks. Just last month, Stripe was ordered to pay $120,000 in a case in Massachusetts after failing to protect users in a $15 million cryptocurrency scam.

Now, bringing on a business from Nigeria could give the company a different kind of risk exposure. Nigeria is the biggest economy in Africa, but it is also one of the more corrupt on the continent, according to research from Transparency International.

And related to that, it also has a very contentious approach to law and order. Nigeria has been embroiled in protests in the last week with demonstrators calling for the disbanding of the country’s Special Anti-Robbery Squad, after multiple accusations of brutality, including extrajudicial killings, extortion and torture. In fact, Stripe and Paystack postponed the original announcement in part because of the current situation in the country.

But while those troubles continue to be worked through (and hopefully eventually resolved, by way of government reform in response to demonstrators’ demands), Paystack’s acquisition is a notable foil to those themes. It points to how talented people in the region are identifying problems in the market and building technology to help fix them, as a way of improving how people can transact, and in turn, economic outcomes more generally.

The company got its start back when Akinlade, for fun (!) built a quick way of integrating a card transaction into a web page, and it was the simplicity of how it worked that spurred him and his co-founder to think of how to develop that into something others could use. That became the germination of the idea that eventually landed them at YC and in the scope of Stripe.

“We’re still very early in the Paystack payments ecosystem, which is super broken,” said Akinlade. The company today provides a payments API, and it makes revenue every time a transaction is made using it. He wouldn’t talk about what else is on Paystack’s radar, but when you consider Stripe’s own product trajectory as a template, there is a wide range of accounting, fraud, card, cash advance and other services to meet business needs that could be built around that to expand the business. “Most of what we will be building in Africa has not been built yet.”

Last month, at Disrupt, we interviewed another successful entrepreneur in the country, Tunde Kehinde, who wisely noted that more exits of promising startups — either by going public or getting acquired — will help lift up the whole ecosystem. In that regard, Stripe’s move is a vote of confidence not just for the potential of the region, but for those putting in the efforts to build tech and continue improving outcomes for everyone. Just Stake

1 Like

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by swtdrms(m): 4:13pm On Oct 15, 2020
Luftwaffe:


What is stopping you from creating renewable/green energy that can benefit the world with what you studied? Mr. Excuses. Ojukokoro ontop another man sweat.

You wicked ooo, wetin the guy do you na?

2 Likes

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by Omooba77: 4:13pm On Oct 15, 2020

2 Likes

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by Nobody: 4:13pm On Oct 15, 2020
southniyikaye:
One of my regrets in life, rejecting computer science for biosystems engineering..
Shey now, me self for dey create apps worth millions of dollars


Modified - - - -una go Everly get issue with my personal regrets and decisions..
As I dey regret am now, he give una headache? Na your regret? Na my mistake? abeg let me regret my regret in peace biko

What will you say about those of us that went to the same uni and the same department as these paystack guys? Diligence and Patience is key o! Lazy IT guys like us go dey find existing solutions to leverage on when we too can build home grown solutions wey fit blow.

19 Likes 2 Shares

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by southniyikaye(m): 4:13pm On Oct 15, 2020
Goldencheese:
It is not too late to start learning how to program. It's even easier now.

thanks bro, am learning bit by bit with grasshopper

2 Likes

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by Ikillbrokehoes(m): 4:13pm On Oct 15, 2020
Kudos to them, they did well
Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by Nobody: 4:13pm On Oct 15, 2020
sylve11:
Over $200m. That's some massive funds. Congrats man! cool

Where are those thieves ? To all the cursed animals who boast here about Yahoo take a look at this !!

Iyo cartel you thief you scum bag you criminal , see your life ?!!!

While bastards like you are thinking how to send scam emails your mates working and earning legit
Bloody thief!! See how useless and cursed the lives of Yahoo boys are ?

Useless slawormir see your mates !!! Animal !! See as they are doing things .
They sold their company for $200k and can relax and spend with peace of mind but you will be awake every night sending scam emails to get $50 off your victims you useless good for nothing bastard .. that illiterate iyo cartel who should be selling gala in ibadan comes here to make noise and disturb this forum with his fraudulent activities see your mates!! Useless bastards!!!

16 Likes 2 Shares

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by slowice(m): 4:14pm On Oct 15, 2020
Great... That how sars would see this one driving a 2022 g wagon and arrest him, questioning his source of wealth.... Nonsense

2 Likes

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by lymelyte(m): 4:17pm On Oct 15, 2020
Tech is the new oil. Even bigger than oil

2 Likes

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by Nobody: 4:18pm On Oct 15, 2020
Jack has eye's on the Nigerian market.

1 Like

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by Roddd(m): 4:18pm On Oct 15, 2020
You see those beautiful dreadlocks?
There are many Nigerian youths with that appearance working off their asses, only for a very senseless bunch to waste their lives at a gun-point.

#ENDSWAT

2 Likes

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by southniyikaye(m): 4:19pm On Oct 15, 2020
Luftwaffe:

There is no sense in your post. You were forced to study biosystems engineering, we don hear. WHAT HAVE YOU ACCOMPLISHED WITH IT?
I wanted to ignore you but let me enlighten you a bit so you don't become totally useless to yourself

Get sense abeg, I have no time for miscreants

3 Likes 1 Share

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by Gmajor(m): 4:20pm On Oct 15, 2020
cdm4live:
Good deal.
Just look at how technology is making people rich.

Buy this quality shoe for yourself or your boyfriend. Grab it for a giveaway price.

https://dormenedynasty.com.ng/collections/flat-lightweight-shoe/products/mens-fashionable-loafers-black

Location
Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by southniyikaye(m): 4:20pm On Oct 15, 2020
Queenyprinxex:

Who told you computer scientists are app developers? or that you need a degree to be one?
atleast getting a better basics at a tender age will make things alot easier..
Its not easy learning programming and other stuff related at this age

1 Like

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by studentofTruth: 4:21pm On Oct 15, 2020
plat0:

https://techcrunch.com/2020/10/15/stripe-acquires-nigerias-paystack-for-200m-to-expand-into-the-african-continent/


This is the kind of news I want to hear. Shola and Ezra are the kind of guys I want to associate with, and not the pathetic fellows here that take pleasure in stupidity and fraud.

Shola and Ezra are examples of our smart youths the government should protect at all cost, not allowing poorly trained and ignorant criminals in uniform to intimidate us for embracing technology and digital revolution!

4 Likes

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by Taye4j: 4:22pm On Oct 15, 2020
Can you now see why they need to end SARS and reform the police? The guy in dreads would have been arrested on a normal just because he's on dread and carrying laptop up and down.

Only God knows how many of this brilliant minds have been killed by SARS for carrying laptops with dreads.

Anyway, Yorubas are the best.

#EndSARS
#EndSWAT

8 Likes

Re: Stripe Acquires Nigeria’s Paystack For $200 Million To Expand Into Africa by southniyikaye(m): 4:23pm On Oct 15, 2020
airsaylongcom:


What will you say about those of us that went to the same uni and the same department as these paystack guys? Diligence and Patience is key o! Lazy IT guys like us go dey find existing solutions to leverage on when we too can build home grown solutions wey fit blow.
I feel your pain bro...

1 Like 1 Share

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