Jul 02, 2020

MFS Africa: provides SMEs with cross border digital payments

Banking
Finance
Fintech
Innovation
Georgia Wilson
3 min
Digital Payments
MFS Africa - a Leader in cross border payments - has acquired Beynoic, a digital payment management provider for SMEs, fintechs and social impact entiti...

While MFS Africa - one of Africa’s largest digital payments hubs - connects over 200mn mobile wallets in Africa via one API, Beyonic focuses on domestic payments and collections via a secure front-end business functionality. The recent acquisition made by MFS Africa - which is subject to regulatory approval by the Fair Competition Commission in Tanzania - will help to provide the growing micro, small, and medium enterprises in Africa with the ability to manage digital transactions with individuals and businesses around the world.

“Africa has a strong base of connected young entrepreneurs and businesspeople who are bringing fresh ideas to the table, in order to create prosperity for themselves and for their communities on the continent,” commented Dare Okoudjou, founder and CEO of MFS Africa. 

“With the MFS Africa Hub, we have been creating new digital pathways between mobile money users in Africa and the global economy. With the acquisition of Beyonic, we can now put this digital payment network at the service of those entrepreneurs whether they are SMEs, fintechs, or social impact organisations. By combining MFS Africa’s and Beyonic’s assets and capabilities, we can unleash the wealth of opportunity that business within Africa and with Africa presents to the wider world.”

In the second half of 2020, the extended access and functionality will become available to customers. This will allow organisations to reach additional markets directly and seamlessly via the same interface and leverage MFS Africa’s pan-African and global connections.

“MFS Africa’s mission to make borders matter less in digital payments aligns perfectly with Beyonic’s vision of helping enterprises deliver fast, affordable fintech solutions to the last mile, where they are needed the most. Together, we will give our customers access to the broadest and deepest digital payment network in Africa.” Mr. Kyohere continued, “I’m excited about the possibilities this partnership brings, especially when you factor in MFS Africa’s recent partnership with Visa, enabling them to issue Visa payment credentials across their pan-African network[1]. It’s a new dawn for SMEs in Africa,” commented Luke Kyohere, founder, Executive Chairman, and CTO of Beyonic.

The World Bank states that SMEs contribute up to 40% of national income (GDP) in emerging economies. However, they face various challenges when it comes to growth in emerging markets such as the ability to scale operations domestically, continentally, and internationally. 

MFS Africa’s new product offerings via the acquisition aims to resolve these issues by providing the ability to transfer funds securely and transparently.

“We are delighted to have advised Beyonic on its sale to MFS Africa. This deal is one of the most significant cross-border African FinTech M&A transactions in recent years. Global financial connectivity to Africa’s micro and SME sector has never been more important. The combined company will provide a seamless financial platform which opens unparalleled digital commerce opportunities across Africa and beyond,” commented Monica Shupikai Simmons, Director of Tech Investment Bank, ICON Corporate Finance, who led the transaction.

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