Nigeria is one of the most attractive investment destinations in Africa. Over the last couple of years, Nigerian companies have received a significant amount of funding from both local and international investors. In 2023 alone, Nigerian start-ups raised over $500 million in equity and venture debt.
Fintech led the way, accounting for more than 60% of the total funding. However, other sectors like e-commerce, health tech, and agri-tech also got attention from investors. In this article, we’ll look at the Nigerian companies that have raised the most money in their funding rounds and how much they got.
No Nigerian start-up has raised more money in a single funding round than Opay. In 2021, the mobile payment company secured $400 million in its Series C round led by Softbank’s Vision Funds 2. Other participants included DragonBall Capital, China, Source Code Capital, Sequoia Capital, SoftBank Ventures Asia, 3W Capital, and Redpoint China. This investment brought Opay’s total funding to $570 million since it was founded in 2018. It also helped the company reach $2 billion in valuation, earning it a unicorn status. Based in Lagos, Nigeria, the fintech plans to use this capital to expand to other countries in Africa and the Middle East.
Considered the “Amazon of Africa,” Jumia raised a sum of $326 million in its 2016 Series D round. The money came from its new and long-time partners, including Goldman Sachs, MTN, AXA, and Rocket Internet. This investment took the company’s valuation to $1 billion, making it the first African start-up to become a unicorn. Founded in Nigeria in 2012, Jumia is an e-commerce firm that connects customers with sellers across Africa. They also offer payment and logistics services to help retailers deliver packages to consumers. After the history-making round of 2016, Jumia has held two other funding rounds and has now received a total of $593 million from investors.
Flutterwave made the headlines in 2022 when it got $250 million in funding. The Nigerian fintech secured this investment in its Series D round from investors like B Capital Group, Alta Park Capital LP, Whale Rock Capital, and Lux Capital. This capital raise took the company’s total funding since inception to $475 million and tripled its valuation from $1 billion in 2021 to $3 billion in just 12 months. Established in 2016, Flutterwave is a payments processing company that allows African businesses to make local and international transactions. It also helps foreign companies like Uber, Flywire, and Booking.com operate on the continent. Flutterwave is currently used in over 34 African countries, including Nigeria, Kenya, South Africa, and Uganda.
Tech recruitment firm Andela also raised $200 million in 2021. It got this capital in its Series E funding round led by Softbank’s Vision Funds 2 with participation from other investors, like Whale Rock, Generation Investment Management, Chan Zuckerberg Initiative, and Spark Capital. This investment increased the company’s total funding to around $381 million and brought its value to $1.5 billion. Founded in 2014, Andela is a remote marketplace that trains and connects African technical talent with global companies.
Moniepoint is currently the highest-funded Nigerian start-up for 2024. The Lagos-based fintech secured $110 million in its Series C investment round led by Development Partners International’s African Development Partners (ADP) III fund. Other participants in the round included Verod Capital, Lightrock, and Google’s Africa Investment Fund. This financing brought the company’s valuation to over $1 billion, making it the latest African unicorn. Established in 2015, Moniepoint is a financial platform that provides banking and loan services to individuals and businesses.
Moove also got an investment worth up to $100 million in 2024. The Nigerian mobility fintech secured this capital in its Series B funding round from Uber and Mubadala. This financing increased the total amount raised by the company to $460 million and brought its valuation to around $750 million. Founded in 2020, Moove is an auto financing service provider that helps drivers of ride-hailing apps, logistics, and mass transportation companies acquire and pay for their vehicles.
Nigerian digital bank Kuda also raised $55 million in 2021. The Lagos-based fintech got this capital from its new and existing investors, including Valar Ventures, Target Global, and Strategic Business Investor (SBI). This investment was made at the company’s Series B round when it was valued at $500 million. With this new inflow, Kuda has now secured over $90 million in total funding. The so-called “Bank of the Free” claimed it would use the funds to improve its services and expand to other African countries.
Nigerian companies are finally getting the attention of global investors. From fintech to e-commerce and agro services, many start-ups have received huge capital from investors looking to benefit from the country’s thriving business environment. The amounts raised by the firms mentioned above are staggering. In fact, they are higher than what’s typically spent in a single day at the casinos found on casinos.com—which is saying something. At the very least, it shows the level of confidence venture capitalists have in these Nigerian businesses.
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