Chipper Cash, a leading pan-African payment company facilitating cross-border transactions, is said to be considering a potential sale or seeking new investors.
The company, which is headed by Ugandan tech entrepreneur Ham Serunjogi, has reportedly embarked on this strategic move to further strengthen its position in the rapidly evolving digital payments market in Africa.
Sources familiar with the matter have informed Bloomberg that Chipper Cash had already started exploring potential options before the recent collapse of Silicon Valley Bank. The startup is still in the process of evaluating its options and has not yet made any final decisions.
“It’s been fairly common practice for us to receive various M&A proposals from different parties, which we evaluate to varying degrees. That being said, we have never sought to be acquired,” the company stated in response to questions.
Chipper Cash, a cross-border payment platform co-founded in 2018 by Serunjogi and his Ghanaian business partner Maijid Moujaled, provides mobile-based, fee-free peer-to-peer payment services in seven African countries: Ghana, Uganda, Nigeria, Tanzania, Rwanda, South Africa, and Kenya.
The recent move by the Ham Serunjogi-led fintech startup follows a 2021 fundraising round, where it raised $250 million, led by Silicon Valley Bank and the now-defunct FTX.
Since its establishment almost six years ago, the startup has secured $300 million in venture capital funding at a $2.2-billion valuation. Additionally, it has established an operational presence in the UK, enabling it to facilitate money transfers from the country to African markets.
Notably, Silicon Valley Capital, the venture capital arm of the now-collapsed Silicon Valley Bank, played a significant role in the company’s fundraising efforts, leading multiple funding rounds. As a result, it presently holds a stake of approximately two percent in the San Francisco-based company.
