Lesaka Technologies, a fintech company based in South Africa, has entered into a definitive agreement to acquire Adumo, a fellow South Africa-based paytech firm, in a deal valued at approximately $85.9 million.

The agreement is pending shareholder and regulatory approvals and will be settled through a combination of $12.5 million in cash and the issuance of 17,279,803 shares of Lesaka common stock to Adumo’s current shareholders. The funding for the cash component will come from both external financing and internal cash resources.

Adumo’s principal shareholders include Apis Growth Fund I, a private equity fund managed by UK-based VC Apis Partners, and African Rainbow Capital (ARC), a South African investment firm. Founded in 2009 and headquartered in Bryanston, South Africa, Adumo is recognized as the largest provider of point-of-sale (POS) and Software-as-a-Service (SaaS) solutions in the country’s hospitality sector. Specializing in integrated payments, reconciliation services, and card acquiring, Adumo serves around 23,000 merchants and supports over 245,000 cardholders through its corporate card offering.

Lesaka, a provider of B2B and B2C financial services to South African consumers and businesses, believes that the acquisition will strengthen its position as a leading consolidator in the Southern African fintech market and enhance its capabilities in both consumer and merchant sectors. Following the acquisition, Lesaka expects its solutions ecosystem to serve more than 119,000 merchants and 1.7 million consumers, processing over $13 billion in throughput annually. Furthermore, the company plans to expand its operations to include Kenya, Botswana, Namibia, and Zambia, in addition to its primary market of South Africa, with a combined workforce of over 3,300 employees.

The deal is projected to be finalized in the third quarter of 2024, according to Lesaka.

Source: fintechfutures.com

“Pedram Tadayon Takes Helm as CEO of Mitigram”

Mitigram, the Swedish digital trade financing platform, has announced the appointment of Pedram Tadayon as its new CEO.

Tadayon’s mandate includes the expansion of Mitigram’s partner network to accelerate digital transformation within the trade finance industry, alongside overseeing product delivery. With over 25 years of experience in financial services and technology, Tadayon’s background includes co-founding Visualizy, a paytech based in Sweden, and holding leadership roles at organizations such as Liberis, Nets, Tieto, and American Express.

Established in 2014, Mitigram provides real-time insights into capacities, risks, and pricing across more than 100 markets, serving the trade finance sector.

Kaj Hed, chairman of Mitigram’s board, expressed confidence in Tadayon’s leadership skills, customer-centric approach, and deep understanding of the trade finance industry, emphasizing their value to Mitigram.

Tadayon’s appointment coincides with a series of C-suite additions at Mitigram, including Joshua Kroeker, who joined as chief product officer from Contour, and former Swift head Ted Scheiman, who now serves as Mitigram’s chief strategy officer.

Furthermore, Mitigram disclosed last June that it had successfully raised $11 million in its latest funding round, bringing its total funds raised to date to $38 million.

Source: fintechfutures.com