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Home Blog Page 5157

Interswitch Seals $110m Joint Investment Deal to Scale Payment Services Across Africa.

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Interswitch, a Nigerian-based African payment company, has sealed a $110 million joint investment deal from LeapFrog Investments and Tana Africa Capital, according to a statement from the investment companies.

The investment will be used to scale growth across the African continent, the firms said. With the new investment, Interswitch, which crossed the unicorn threshold in 2019 after receiving $200 million for a 20% stake from Visa, has further upped its valuation even though it didn’t confirm how much it got from the firms per TechCrunch.

“The exact terms of the transaction haven’t been disclosed. We can’t comment on that for now,” a spokesperson for the company told TechCrunch when asked about the investment and Interswitch’s new valuation.

However, both Interswitch Group and LeapFrog Investments have expressed optimism that the investment will help the payment firm to expand its services.

“This investment by LeapFrog affirms the formidable talent at Interswitch, and how well-placed it is to seize the significant opportunity in Africa’s evolving digital payments landscape. LeapFrog is proud to be partnering with Interswitch to further enhance their innovative, digital capabilities to deliver sustainable scale, whilst positively impacting the lives of millions of people and businesses across the region,” Karima Ola, Partner, Head of Africa Financial Services, LeapFrog Investments said.

“We are excited to welcome LeapFrog and Tana on board, as we continue our work to advance the future of the African payments landscape. The evolution of fintech in Nigeria and the broader sub-Saharan region has been driven by the need to solve challenges and barriers that exist within the traditional financial system. Interswitch was born from the need to develop solutions that match the unique needs of local customers and merchants,” Mitchell Elegbe, Founder and Group Chief Executive of Interswitch said.

However, the 20-year old company has been mute on its expected IPO debut which has been on its to-do-list since 2016, but that has not limited its growth. Interswitch powers seamless payment in Africa across online payments, POS terminals, Quickteller and Verve, which is 100% accepted for payment in Nigeria and 185 other countries globally, the company said.

With a 948 full-time employees across Africa, the fintech powers much of the rails for Nigeria’s online banking system and is well known for its point-of-sale terminals, online consumer payment platforms, Quickteller and Verve, the biggest domestic debit card scheme in Africa that has issued over 35 million active cards since launch.

Can Flutterwave Go Public Via Reverse Merger with Jumia?

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On Dec 2, 2017, I wrote “Konga should sell itself” to Jumia. And within days, the company was sold to Zinox Group which kept its brand, folding Yudala under it. Today, I am making a hard call on Jumia:  this company may need to look at options. From the high of $63, the share traded less than $6 yesterday in New York.

Jumia is a great company and has one of the most important leverageable factors in the African modern business climate. Its market cap is around $520 million as I write. There are two things I will do in six months that will bump its market cap in 6 months. It is severely underperforming; we will fix it and it will compound.

Can Flutterwave do a reverse merger via Jumia on its way to IPO? Since it is worth $3 billion, it can give Jumia shareholders 30% of its value. After the process has been completed, it will change the name from Jumia to Flutterwave in the stock exchange.

A reverse merger is when a private company becomes a public company by purchasing control of the public company. The shareholders of the private company usually receive large amounts of ownership in the public company and control of its board of directors.(investopedia)

Understand that opening many support channels you cannot monitor will hurt you

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“Ahia oma na ere onwe ya” [good products sell themselves], the Igbo Nation will say. A big part of those good products is customer service. In short, the ability to respond to online consumer customers on time solves a high percentage of frictions. In other words, even if you do not have an immediate solution, just telling them you are on it, is key, especially when you have a clear plan to provide that solution.

At Tekedia Institute, we run a 24/7 support cycle. It makes sense when you have people from 44 countries. If you have ever sent an email to Tekedia Institute and got no support, let me know.

Understand that opening many support channels you cannot monitor will hurt you. It is better to reduce the number of channels to avoid confusing users. Yes, you do not want them to think that you have received the messages, and are acting on when, when in reality, you are yet to cycle to them. 

It seems like a great idea having 5 emails for users to contact Support, HR, customer service, etc when you can efficiently have just one channel. Complexity does not bring clarity! You may think you are helping the users but in the real sense, you are making things harder.

The most difficult job in startups is making things simplest because only the most brilliant accomplish that. Bring clarity, and simplify your channels and thrive.

Simple things – the numbers will keep improving.

Never promise clients what you cannot deliver. If people know you for that, they will NEVER recommend you to others. Simply, you cannot grow. When you communicate with clients, be nuanced, under-promising but over-delivering. Clients remember those who over-deliver. Business is about ADDITION – keep everyone coming back, including your “enemies”.

Do all to keep clients. Do not do business with that man or woman who tells a paying customer that “he can go”. Tekedia Institute admits more students than any university in Nigeria. And there is no way we will not respond to your email within 6 hours because our customer service operates 24/7 as we serve people from 44 countries. The Singaporean students in our program do not care if people are sleeping in the US or Nigeria.

Service wins markets!  Make it back of your playbook

 

The Death of Deborah Yakubu; the call for religious tolerance

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The worst happened yesterday. A female student by the name of Deborah Yakubu, a student of Shehu Shagari College of Education, Sokoto was mobbed to death and later set on fire by her colleagues around the school premises. What was her offense; her killers claimed that she blasphemed against their dear Prophet, MUHAMMED; she insulted the prophet and the punishment was instant death.

According to the voice note that she sent to the class WhatsApp group that led to her death which she spoke in Hausa, the loose translation of it was; “Holy Ghost fire! nothing will happen to us. The group was not created for sending nonsense stuff. It was rather created to send past questions, if there is a test, or if we are given assignments not all these nonsense things. Which kind prophet, nonsense Prophet”.

Background: She was reacting to her colleagues always posting religious content in the WhatsApp group which was created solely for academic reasons. The colleagues being mostly Muslims didn’t take her reaction likely and decided to track her down, beat her to death then set her ablaze.

Although her utterances were utterly derogatory and insulting, that should not be what will make her classmates track her down and attack her to death.

Before you panic, save your breath, this is not the first time that a person or people are mobbed to death and then set ablaze for blasphemy against prophet MUHAMMED in Northern Nigeria in recent times, it happened in Kano in 2016. What is more shocking is that the place where this took place is a higher institution of learning, the least place religious intolerance is expected to be in existence in 2022.

How can we still be struggling to save our heads and be cautious not to be hacked to death for blasphemy in Northern Nigeria in 2022? The most surprising thing is that most Northern Muslims saw nothing wrong with that, some are defending the act and quoting Quran to back it up that when you insult the prophet MUHAMMED you deserve to die.

Even those that occupy a high ranking position in society are openly defending the act even on social media. The excitement of the mobs while carrying out the act is dreadful; acts like these are barbaric and are only churned out of religious extremism or fanaticism and sheer ignorance.

We should learn to coexist in peace amongst one another despite the religion, tribe, state or skin pigmentation. It is humanity over religion, humanity over the tribe, humanity over race.

Religious leaders should educate their followers that we are not in the jungle where jungle justice is the order of the day, most of them are clearly ignorant and are always eager to take the law into their hands with the excitement that they are fighting the holy war or fighting for their god. There are institutions that have been put in place to address grievances and anybody who is aggrieved should approach those institutions to address their grievances, that is how it ought to be in a civilized society like Nigeria.

This should not be one of the mob actions that the law enforcement agencies will sweep under the carpet, they should do the needful and bring everybody who is part of this dastard act to justice, every single one of them. The punishment for murder in Nigeria is a death sentence, so nothing less is expected of the law enforcement and the judiciary; examples must be set to deter others from committing this kind of act in the future and be forced to learn religious tolerance and peaceful coexistence in Nigeria.

 

Nigeria 2023: As Emefiele Meets Buhari In Aso Rock

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President and CBN boss

The Central Bank of Nigeria (CBN) Governor, Mr Godwin Emefiele, Thursday 12th May 2022,  met with President Muhammadu Buhari in Aso Rock Villa, Abuja behind closed doors.

When approached by newsmen immediately after the meeting, Mr Emefiele stated that his fate was still being decided as regards the controversy surrounding his presidential bid.

On the notion that his current position as a presidential aspirant and the CBN governor is a major point of concern for Nigerians and even the international community, he replied, “Let them have heart attacks. It’s good to have a heart attack.”

He further disclosed that despite the current outrage by Nigerians, the main opposition, the Peoples’ Democratic Party (PDP), and the international community, he was ‘having fun’ over everything.

Emefiele’s assertion comes barely 24 hours after the President ordered members of his cabinet vying for various elective positions to resign on or before May 16, 2022.

Also, a circular signed by the Secretary to the Government of the Federation (SGF), Boss Mustapha with reference number SGF/OP/ I/S.3/XII/ 173, titled, ‘Ministers, heads of government agencies, ambassadors and other appointees with political ambitions to resign’, ordered all heads of agencies, departments, parastatals, and ambassadors with political ambitions to resign.

It could be recalled that on Friday, 6th May 2022, a group of farmers and businesspersons had reportedly purchased the N100m presidential nomination forms of the ruling All Progressive Congress (APC) for Emefiele, a move he said he did not influence.

The CBN Governor had earlier gone to court to challenge the Public Service Rule that requires public office holders to resign their positions before contesting elective positions.

While asked to respond to reports that Buhari had directed him to resign, Emefiele said, “There is no news now, but there will be news. You heard me, I said there is no news but there will be news”.

The main opposition party in the country, the PDP, after its 96th National Executive Committee (NEC) meeting on Wednesday, 11th May 2022 restated its call for Emefiele’s sacking, arrest and investigation.

Speaking shortly after the meeting, the PDP National Publicity Secretary, Debo Ologunagba, said, “NEC restated the call by the party for the immediate resignation, arrest and prosecution of the Governor of the Central Bank of Nigeria, Mr. Godwin Emefiele, for alleged manipulations and financial impropriety in the CBN which contributed to the collapse of our national economy.

“NEC vehemently rejected the continued stay of Mr. Emefiele as CBN Governor after being confirmed as a card-carrying member of the APC.

“The CBN is the custodian and keeper of all INEC sensitive materials used in all elections. Having been confirmed as a member of the APC, Mr. Emefiele can no longer be trusted with INEC sensitive materials which are key to guaranteeing free, fair and credible elections.”

At this juncture, it’s very clear and understandable that Mr Emefiele is really playing on the intelligence and intellectual ability of Nigerians, in their entirety. Not minding his previous actions and inactions, he still further tendered such provoking statements in the public sphere as if the citizens are dummies.

Having gone this far, he doesn’t deserve a resignation at this point, but a sack letter. Understanding that he is actually playing politics with the country’s economy, it’s unequivocally needless to demand for his resignation; he ought to rather be sacked by the President, unless there’s something they are not telling us.

Under Mr Emefiele’s watch, Nigeria’s currency, Naira, has become almost so useless in the international community, yet he isn’t bothered. Rather than hiding his face in shame, he’s further ridiculing the country’s status in the global space.