Crossfin-led consortium in Sureswipe acquisition
The consortium also forms an independent card-acquiring company in South Africa.
South Africa’s fintech investment company, Crossfin Technology, and private equity fund, Apis Growth Fund I, have acquired card payment solutions firm Sureswipe for an undisclosed amount.
Along with the acquisition of Sureswipe, Crossfin Technology and Apis Growth Fund have agreed to form Crossfin Transactional Solutions (CTS), a payments and merchant acquiring solutions platform.
The new platform brings together three local payment service providers: Innervation Pan African Payments, Emerge Mobile under the brand iKhokha and Sureswipe. The new shareholders of CTS are Crossfin Technology Holdings, Apis Growth Fund I and members of the management teams.
The new consortium will have the scale to provide payment solutions to a broad spectrum of local retailers, from micro-merchants and informal traders through to larger retailers and franchises.
It also provides merchants with a range of ancillary products, including: automated lending solutions tailored to cash flow requirements of various businesses; bespoke loyalty solutions; and a comprehensive suite of value-added services designed to drive customer engagement.
CTS services over 25,000 active clients, 50,000 active card machines and R70-billion in transaction value. The company will have operations in seven African jurisdictions.
Sureswipe’s MD, Paul Kent, says the three consolidated brands under the consortium will continue to operate independently within their distinctive markets. “We believe each provides a distinctive client solution, but that by layering a common shared services platform across the three businesses CTS will provide merchants a “one-stop shop” to help them grow their business.”
“If we are to accelerate the migration of South African consumers to a cashless and financially inclusive society, the payments industry must focus on improving accessibility to payment channels and educate consumers and merchants on the true costs and dangers of cash,” Paul adds. “This new consortium looks to do just that.”
Anton Gaylard (pictured), co-founder and COO at Crossfin, says: “we will continue to invest in complementary businesses to support the team as well as partner with, or invest in, other exciting fintech companies with products and services that can be distributed across our ‘rails’ and which add value to our customers and their consumers, such as our recent investments in Retail Capital and Nobuntu.”
Crossfin recently acquired InsurTech start-up Nobuntu, which focuses on bringing affordable pension savings products to lower income workers, and Retail Capital, a South African-based provider of alternative business funding to the Small and Medium Enterprises sector.