Paga Group, the pioneering fintech out of Nigeria, has given up on Africa, at the level where it matters: legal jurisdiction of the holding company. Yes, Paga Group CEO, Tayo Oviosu, just informed the world that the Mauritius-based company has redomiciled to the United Kingdom!
There is nothing new here: holding companies of 99% of fintech companies in Nigeria which have raised at least $2 million are typically not Nigerian. The news here is that the old “reliable” Mauritius has failed Paga Group. Simply, African legal systems are not catching up with the modern ordinance of market systems. We need to fix those urgently.
Here is the core reason for moving:
“The laws and courts of Mauritius are not very fast-moving, and the rules are difficult. I’ve had one court case that was eventually thrown out after a year.
In the UK it would have been thrown out immediately, and the person would have had to pay us for our lawyer fees.
“Basically, not an easy place to do business. It is more painful than useful. I say stick to good ol’ America or UK or Netherlands or Luxemburg. Where you know there are professionals, and the legal system works.”