Stitch, Cape Town-based fintech startup has raised $55 million in a new funding round aimed at enhancing its unified payment infrastructure across Africa. This investment brings Stitch’s total funding to $101 million, underscoring growing investor confidence in the continent’s digital payments sector.
The funding round saw participation from existing investors, including Raba Partnership, which contributed $4.2 million. Stitch plans to utilize the capital to expand its end-to-end payment solutions, enabling businesses to manage transactions seamlessly across various financial institutions.
Forefront of developing API-based financial solutions
Founded in 2019 by Kiaan Pillay, Natalie Cuthbert, and Priyen Pillay, Stitch has been at the forefront of developing API-based financial solutions. The company’s offerings include products like LinkPay, which allows tokenization of financial accounts for recurring payments, and WigWag, a no-code tool designed for small businesses.
Earlier this year, Stitch expanded its services by acquiring Exipay, a company specializing in in-person payments. The acquisition, now rebranded as Stitch In-Person Payments, marks the company’s entry into offline payment solutions, catering to sectors like retail and hospitality.
According to our earlier report at TechMoran, the acquisition aimed to simplify a number of issues in South Africa. In South Africa, in 2024, just 6% of retail transactions took place online, projected to reach 10% in 2025. An increasing number of shoppers prefer shopping from a brand that has both a physical and an online store. Consumers continue to demand more seamless, personalised and unified experiences no matter where they choose to shop.
Accept in-person payments via card present
Stitch’s In-person payments enable enterprises to accept in-person payments via card present, and offer customers the option to pay with alternative online methods at point of sale. Merchants can switch to Stitch In-person payments using their existing fleet of terminals or leverage Stitch to certify new devices, including P2PE certification. The offering supports all major acquiring banks.
With easy integration, Stitch aims to give the same flexibility, reliability and white glove support to ExiPay clients and PSPs in South Africa and other African markets, including omnichannel retail brand Bash / The Foschini Group (TFG). Stitch will serve Bash for both their online and in-person payments needs, and will continue serving other existing ExiPay clients.
With this latest funding, the fintech aims to deepen its presence in South Africa and selectively expand into other high-potential African markets, striving to build the infrastructure that powers Africa’s digital economy.
