TerraPay raises $9.6 Million
TerraPay have today announced both the acquisition of their company by a consortium of investors including Prime Ventures and Partech Africa, and an investment of $9.6 million by the same investors alongside IFC to fund the company's expansion.
TerraPay addresses the significant issue facing many people from countries in which making payments across different channels costs far more than the global average (9.3% compared to 7%). The digital payment ecosystem is at the current time severely fragmented, with many mobile providers developing their own network alongside financial institutions with no real interopability solution. TerraPay allows for the quick, safe and affordable transfer of money, by enabling any bank, mobile operator, money transfer operator or payment service provider the ability to instantly connect to each other at a low cost. Their infrastructure offers merchants traditionally excluded from credit card systems the opportunity to be integrated into the network. It also allows companies to pay salaries through mobile money accounts and helps banks to settle remittances in real-time, a significant advantage as remittance costs contribute significantly to the GDP of recipient countries, with a large proportion of these costs relating to cash handling at the sending and receiving end.
Cyril Collon, General Partner at Partech, explained the investment in TerraPay: "We are excited to join efforts with an outstanding group of investors and a superb team for the next part of TerraPay’s journey. We have been impressed by the cutting-edge platform TerraPay’s teams have developed. This platform will play a key role in reaching the interoperability goals necessary for true financial inclusion. The impact for end-customers is already massive in terms of quality of service, reliability and speed.”
This investment will aid in the expansion of the company, a fact that Ambar Sur, CEO of TerraPay, believes is a validation from investors and will allow the company to continue their mission to address financial inclusion by making real time national, regional and global payment accessible to everyone, while reaching most of the world's underserved in the coming years.
To know more, read the press release.