Profitable African fintech PalmPay is in talks to raise as much as $100M | TechCrunch
Jun 05, 2025 - techcrunch.com
PalmPay, an African digital bank fintech, is in discussions to raise $50 million to $100 million in a Series B round to support its expansion across Africa and Asia. The company, which launched in Nigeria in 2019, has become profitable and processes more transactions than any traditional bank in Nigeria. It has built a vast network of over 1 million small businesses and agent merchants, serving more than 10 million customers monthly. PalmPay's app, pre-installed on select smartphones through a partnership with Transsion, has driven significant user acquisition, reaching 35 million registered users and 15 million daily transactions. The fintech is now expanding its model to new markets like Tanzania and Bangladesh, focusing on device financing and consumer credit.
PalmPay's revenue has surged to $64 million in 2023, more than doubling since its last reported figures. The company plans to use the new capital to deepen its presence in Nigeria, scale its business-focused offerings, and introduce device financing. PalmPay also offers cross-border payments for merchants in Nigeria, Kenya, and Tanzania, with plans to expand to South Africa. The fintech's strategic partners and investors include Transsion, GIC, and Mediatek, and it is exploring collaborations with more original equipment manufacturers.
Key takeaways:
PalmPay is in talks to raise between $50 million and $100 million in a Series B round to fuel its expansion in Africa and Asia.
The fintech has achieved profitability and processes more transactions than any traditional bank in Nigeria, with 25% of users reporting it as their first financial account.
PalmPay's partnership with Transsion, a leading smartphone maker in Africa, has been crucial for user acquisition and engagement through pre-installed apps on devices.
The company has expanded to Tanzania and Bangladesh, offering device financing and consumer credit, and plans to introduce device financing in Nigeria.
