TeamApt closes an undisclosed Series B round to expand its financial services beyond Nigeria
TeamApt, a Nigerian fintech startup that offers agent banking services to Nigerians with intentions to launch a digital bank soon, has successfully secured an undisclosed amount in a Series B round.
Though the exact amount wasn’t stated, sources familiar with the deal said it’s higher than $20 million but less than $100 million.
The funding round was led by Novastar Ventures with participation from FMO, Global Ventures, CDC, Oui Capital, Kepple Africa Ventures, Soma Capital, and a syndicate of local angel investors including Gbenga Oyebode.
The last time TeamApt raised funds was in 2019 when it secured $5.5 million in a Series A round led by Jim Ovia’s Quantum Capital Partners.
Francophone expansion
The fintech startup disclosed that this latest funding will be used to expand its solutions to other African countries and extend its product offerings to customers and micro-SMEs by giving them access to the financial access they need to succeed.
The startup which currently has operations scattered around Nigeria has plans to expand its footprints to a francophone African country soon. Countries currently under consideration include Cameroun, Uganda, Congo, Guinea, Ivory Coast, South Africa, Kenya, Ghana, and Tanzania.
Commenting on the funding round, the Co-founder and Chief Executive Officer (CEO) of TeamApt, Tosin Eniolorunda said, “This fundraiser is happening at a significant time in our growth as a company. In the past years, we have exceeded several strategic milestones without external funding, helping accelerate the Central Bank of Nigeria’s target of 95% financial inclusion by 2024, but as the hurdles of financial access are not unique to Nigeria, this funding allows us to extend our solutions to other parts of Africa”.
Commenting on the investment, Noor Sweid, Founder and General Partner of Global Ventures expressed excitement at supporting the company’s ambitious expansion plans focused on driving value across the financial services chain.
“It is with great enthusiasm that we are partnering with TeamApt on their mission to bank the unbanked and underbanked across Africa. Tosin and the team’s mission-driven and product-focused approach have translated into the development of an optimized POS and one of the largest agent networks in Nigeria in a relatively short span of time. We are excited to back TeamApt, alongside this consortium of investors, to support the company on its ambitious expansion plans focused on driving value across the financial services chain.”
TeamApt’s mission to bank the unbanked in Africa
The startup was launched in 2015 by ex-employees of Interswitch, a Nigerian fintech company. TeamApt kickstarted its operations by creating digital banking solutions for banks. 12 months into operations, the startup was servicing nearly all the banks in Nigeria.
In 2019, the startup pivoted to providing financial services for the underserved African market by launching Moniepoint, an agent banking service. Fast forward to 2021, Moniepoint is currently the leading agent banking platform in Nigeria with the highest volume of transactions, according to the Shared Agent Network Expansion Facility (SANEF).
According to the startup, it has processed a total of $17.5 billion worth of transactions in the past 12 months. It has also seen a 1,081% increase from the previous year, with an average of 68 million transactions performed on its platform every month.
What’s next for TeamApt
Aside from expanding to other African countries, the startup plans to raise Series C funding in the coming months. Hopefully, the Series C round will make it the next unicorn in Africa. Recently, the company’s founders were announced as the latest members of the Endeavor Nigerian Network. This implies that they are eligible to receive investment from the network’s Catalyst Fund.
TeamApt eyes unicorn status on the back of an agency banking boom