Nedbank Buys South African Fintech iKhokha in $92M Deal to Boost SME Services

Nedbank Group Limited has signed a binding agreement to acquire 100% of South African fintech iKhokha Proprietary Limited for approximately R1.65 billion ($92 million) in cash, marking a major push into the fast-growing SME digital services market.

The acquisition, announced on 12 August 2025, is subject to regulatory approval and is expected to close in the coming months. Once completed, iKhokha will become a wholly owned subsidiary of Nedbank but will retain its brand and leadership team under a management lock-in to ensure continuity.

Founded in 2012, iKhokha provides card machines, digital payment solutions, and business tools for small and medium-sized enterprises. The fintech processes more than ZAR20 billion ($1.1 billion) in annual payments and has disbursed over ZAR3 billion ($166 million) in working capital to SMEs.

Nedbank CEO Jason Quinn said the deal aligns with the bank’s mission to empower entrepreneurs and drive financial inclusion.

“iKhokha’s mission and technology align perfectly with our vision for digital transformation in the SME sector,” Quinn said. “Together, we will unlock new opportunities for growth in South Africa and potentially abroad.”

The deal comes amid intensifying competition in the South African payments sector, with banks and fintechs racing to serve the country’s underbanked SME market through mobile, cloud-based, and low-cost payment technologies.