OPay, a mobile platform powering mobile payments, loans with Okash, transportation with Oride, food & grocery delivery with Ofood, and other important services has raised $50 million to reach more users in Nigeria and expand into new markets across Africa as internet penetration grows across the continent.
Led by IDG Capital, Sequoia China, Source Code Capital, Meituan-Dianping, GSR Ventures and Opera Limited, Opay aims to use the funds to strengthen its position in Nigeria, expand to additional African markets and leverage its brand and app into adjacent verticals beyond motorbike ridesharing and food delivery services.
Competition locally is rife as each new day in Nigeria, there is a new on-demand delivery or payment platform launching every day. Or its competition is raising money from big-name investors to capture the entire market. Opay, however, seems ready for battle whether it’s against Glovo, Max, Gokada, Uber or Bolt which just raised a huge round this week.
Launched in August 2018, OPay recorded to have signed up more than 40,000 active agents and transacting in excess of $5 million in June 2019, less than a year after its launch.
“OPay has successfully built a leading mobile payment business in Nigeria in a short period of time. We are excited to be part of its continued growth, as it provides access to better mobile banking services for Nigeria’s 200 million population, and expands into new areas,” said Qingsheng Zheng, Partner of Sequoia China.
“We are thrilled that IDG Capital, Sequoia China, Source Code Capital and others are coming onboard as investors in OPay. The additional capital will allow OPay to accelerate its growth in mobile payment services and the growth into new verticals, such as motorbike ridesharing and food delivery,” said Yahui Zhou, Chairman and CEO of Opera Limited. “Further, the strength of Opera’s brand and OPay’s emerging position will benefit both companies’ and their visions to lead many internet verticals across Africa.”
Opera currently has significant reach in Africa with more than 120 million users in Africa and more than 350 million worldwide using Opera products, including browsers, the standalone news app and fintech offerings. The firm is launching new products via partnerships and expects to grow and become Africas leading everything app.