Ozow raises US$48m Series B funding round

South Africa-based financial technology firm Ozow has recently completed a US$48 million Series B funding round to help it further develop its product offering and also to broaden its reach into new markets.

Ozow, formerly known as i-Pay until it was rebranded in April 2019 after it decided to prioritize assisting SMEs with payments, was launched in November 2014 by co-founders Thomas Pays, Mitchan Adams, and Lyle Eckstein. The trio began the journey after noting what they believed was a gap in the market as regards securing online payment systems in the local market.

Today, the firm enables millions of merchants and consumers, providing them with easy, fast, and secure alternative payment solutions, some of which include QR codes, point of sale, e-commerce, e-billing, and peer-to-peer payments. Ozow is currently in business with notable retailers, including MTN, Vodacom, the Shoprite Group, Takealot, and Uber.

Tencent led Ozow’s US$48 million Series B round, which also includes participation from Endeavor Catalyst and Endeavor Harvest Fund.

This new capital injection will be used by Ozow to further its mission, which is to revolutionize the banking ecosystem and to broaden financial inclusion through targeted service designed to serve the underbanked. It will also help Ozow reinforce its position as one of the foremost payment solution providers on the continent, helping it expand into new markets.

“It’s an honor to bring on board Tencent, Endeavor Catalyst, and Endeavor Harvest Fund. This is a validation of our role in transforming the banking industry through the development of innovative, convenient, and more inclusive payment solutions for everyone,” said Pays.