Nigerian Startups Raised a Lot of Money this Year but these 5 Companies Raked the Biggest Investments

Nigerian Startups Got So Much Money This Year, And These 5 Companies Raked the Biggest Investments

Nigerian tech companies have had a wild 2018 in terms of funding. By November, the top 10 funding rounds by Nigerian startups had a combined $76.3 million investments.

Although this figure seems pretty high, you should note that two South African startups alone have raised nearly twice this amount. JUMO, a fintech company, raised $64.5 million this year, and Zola Electric also raised $74 million.

Nevertheless, what’s intriguing about Nigerian startups is that the volume of deals keep raising. For instance, of the 21 biggest deals on the continent this year, 9 are Nigerian.

And these five startups raised the most investments this year.

5. Paga

Fintech company, Paga recorded another massive funding round in 2018. Paga raised $10 million from Global Innovation Fund (GIF). This means it has now raised $34.7 million in four rounds since 2010. The new investment is in line with Paga’s plans to expand to other African and international markets. Digest Africa reports that places like Ethiopia and Mexico are on the cards.

4. Flutterwave

In October, Flutterwave secured another $10 million funding from international investors. The deal was an extension of the $10 million Series A funding it received in 2017. Total investment now stands at $20.1 million.

3. PayStack

Revolutionary Nigerian payments company, PayStack also impressed in 2018 with its round of funding. The startup announced a new $10.2 million round of funding from investors including Stripe, Visa and China’s Tencent. These investors are huge players in the financial world, with Tencent’s WeChat being the biggest multi-purpose platform in China. Paystack’s new investment allows it to enter new markets across Africa. It recently began operations in Ghana.

2. Mines.IO

In August 2018, four year old Mines.IO announced one of the biggest funding rounds in Nigeria. The fintech company raised a whooping $13 million from several investors. TPG’s The Rise Fund, a $1 billion venture fund, led the round. Other investors include Velocity Capital, Western Technology Investments, First Ally Capital, X/Seed Capital, NYCA Partners, Persistent Capital, Singularity Investments, Trans Sahara Investments, and the Bank of Industry. Mines.IO has now raised $17 million so far!

1. Wakanow

Last week, Wakanow pulled off the biggest funding round ever seen in Nigeria. The flight booking company raised $40 million from American private equity company, The Carlyle Group. Interestingly, The Carlyle Group is one of the world’s largest private equity companies.

Prior to the funding though, Wakanow had been in financial disarray as the company had been battered by the recent recession in Nigeria. Hopefully the new funds will help get things back on track for the industry leader.

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