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A15 exits TPAY, sells 76% stake to Helios Investment Partners
![A15 exits TPAY, sells entire 76% stake to Helios Investment Partners](https://adigitalboom.com/wp-content/uploads/2018/09/a15-tpay-min-1.png)
A15, a leading tech investment fund based in the Cayman Islands; announced today that it has successfully sold 76% stake in its UAE-based fintech company TPAY Mobile, to Africa’s leading private investment firm Helios Investment Partners. TPAY is the fastest growing direct carrier billing “DCB” provider in the Middle East and North Africa region.
Following this deal, A15 became the first fund in the Middle East and Africa which created a Dragon from one of its investments, TPAY.
A Dragon is an investment that returns the entire value of the fund when exited. In this case, TPAY returned a multiple of the value of the entire A15 Fund to its investors, a liquidity event that is very rare in the global tech investment space and a first of its kind in the MENA region.
This MENA’s First Dragon exit is the second major exit for A15 in three years after the sale of Otlob, one of the leading regional online food delivery businesses, to Rocket Internet.
Following the acquisition by Helios Investment Partners, A15 and the current executive team will continue to lead the implementation of TPAY’s growth strategy, with guidance from the new owners, and both will remain invested in a total of 24% of the company.
Established in 2014, TPAY was the first open mobile payment platform to be launched in the region and, today, commands the largest market share at 80% in the DCB space, also known as Direct Operator Billing, across 16 countries, with a total reach of 673 million users. The number of active digital content subscriptions set-up through TPAY’s platform grew at a compound annual growth rate (“CAGR”) of 149% since 2015. The company processed 622 million successful transactions since its launch. Through its partnerships with 33 leading mobile operators, the number of successful transactions processed by TPAY grew at a CAGR of 1,081% since its launch.
The company was able to build strategic partnerships with key regional and international players such as GooglePlay, Wargaming, NetDragon, CrossFire, Gameloft, OLX, Opensouq, MBC, iFlix, Abu Dhabi Media and Dubai Channels Network, amongst others.
The global DCB industry is expected to register a CAGR of 23% during the 2018-2022 period, according to the latest market research report by Juniper Research. TPAY achieved a year-on-year growth in Gross Revenue and EBITDA of 64% and 162%, respectively, well above the global DCB industry.
Karim Beshara, Chairman of A15, commented:
“I would like to congratulate CEO Sahar Salama and her team for this significant milestone for the startup ecosystem as well as for TPAY, and to welcome our new partners, Helios. Creating a Dragon in our fund is ground-breaking for the region. TPAY is a company that became a fund-maker owing to the unique approach in which A15 manages its portfolio companies. The remarkable achievement of TPAY is the result of a success-focused team that shares knowledge, drives business, and delivers results, both at a fund level and at a portfolio company level. The DCB market fundamentals are very promising, and we strongly believe that with such a capable and experienced partner like Helios, TPAY is well-positioned to unlock its utmost potential. I am looking forward to continuing our work with Sahar and her exceptional team as well as with Helios to take TPAY to the next level of growth globally.”
Fadi Antaki, Chief Executive Officer of A15, added:
“TPAY as a portfolio company achieved this level of exponential growth driven by A15’s unique DNA and operating model; at the core of our value proposition as a tech investor is offering more than funding. Our fund teams provide strategic support and capacity, building best practices across key functions such as legal, finance, operations, HR and growth. A15’s ecosystem of regional offices and networks serve as a launchpad for our portfolio companies, as in the case of TPAY. We have an evident traction that our model not only increases the success rates of our portfolio companies but also generates outliers like TPAY. An integral part of our corporate culture is to create a sense of ownership amongst our employees in every company we fund and operate. Employees are literally invested in our successes, and they share in these successes, through the implementation of our employee stock ownership plans (ESOP). This approach played a pivotal role in TPAY’s phenomenal achievements. I am confident that TPAY is well placed to lead the future growth in the DCB sector within the mobile payment industry in the Middle East and Africa.”
Babatunde Soyoye, Co-Founder and Managing Partner of Helios Investment Partners, said:
“A15 and TPAY management have built an outstanding mobile payments platform that is profitable and still has a lot of room for growth in Africa and beyond given its applicability to a wide range of payment types and ease of use.
“TPAY’s business model leverages best-in-class technology and offers a high quality service to its partners; the company’s ability to develop strategic partnerships with key global merchants seeking an entry point into the Middle East and Africa speaks to the quality of the company’s offering and the management team. This is an exciting addition to the Helios’ payments franchise in Africa, and we look forward to working with the management team to achieve the next phase of innovation and growth for the Company.”
DCB is expected to generate US $26 billion in End User Spend (EUS) in 2018 globally, and is predicted to grow to US$59 billion by 2022 according to Juniper Research, marking a 23% CAGR.
With an estimated 86% of adults who do not have a bank account in the MENA region according to Payfort &Wamda , mobile payments and DCB become key to buying digital and physical goods online. MENA is forecast to see the second fastest growth in smartphone adoption of any region over the next few years bringing smartphone adoption to 65% by 2020 as per the Global System for Mobile Communications Association (GSMA) report.
Sahar Salama, Co-Founder and Chief Executive Officer of TPAY, stated:
“I am excited to be part of this next chapter of TPAY’s growth. The Helios team brings new energy from a vibrant and experienced team that will drive real value to the business. This partnership will expedite TPAY’s strategic growth plans and we are on track to double our year-on-year revenue in 2019. My team and I are very proud of the business that we have built, and we look forward to taking it to even greater heights with our new partners, and to continue to set new benchmarks for the sector in the region.”
TPAY plans to leverage this new partnership with Helios to expand into new markets with a focus on Africa and Asia, as well as expanding its footprint into new sectors to use DCB and introducing new partners to the market.
As a leading tech investor, A15 generates a year-on-year growth of 30% and an annual revenue of US$158 million through its 17 portfolio companies operating in 20 markets with 17 offices and 1,000 employees. A15 will continue creating and investing in disruptive tech and tech-enabled companies as well as focusing on building stronger verticals in Fintech, E-Commerce, SaaS and Media with a vision of one day going public.
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Saudi Fintech Lendo Signs MOU with J.P. Morgan
![Saudi Startup Lendo Joins Forces with J.P. Morgan to Enhance SME Financing](https://adigitalboom.com/wp-content/uploads/2024/09/Lendo-x-JP-Morgan-MOU.png)
Lendo, a Saudi Arabia-based Shariah-compliant crowdlending marketplace, has signed a Memorandum of Understanding (MOU) today with J.P. Morgan to improve access to financing for small and medium-sized enterprises (SMEs) across the country.
The MOU was signed during 24 Fintech, a premier fintech event that brings together industry leaders, innovators, and investors in Riyadh.
J.P. Morgan and Lendo are working together on potential opportunities to support the SME sector in Saudi Arabia in growing and sustaining the remarkable demand in this market.
“This strategic collaboration with J.P. Morgan, a pioneer in the financial industry, marks a significant milestone for Lendo,” said Osama Alraee, CEO and co-founder of Lendo. “By combining our strengths, we’ll deliver cutting-edge financial solutions to SMEs, supporting their growth and contributing directly to the realization of Saudi Arabia’s Vision 2030.”
The SME financing landscape in MENA presents a substantial market opportunity as limited financial access continues to restrict the growth of the region’s businesses, with commercial banks hesitant to issue loans to SMEs at scale, resulting in a high percentage of declined financing requests annually.
The total SME financing gap in developing countries is estimated to be approximately $5.2 trillion, according to the International Finance Corporation (IFC).
Lendo’s debt crowdfunding platform aims to bridge the financing gap for SMEs, aligning with Saudi Vision 2030’s goal to significantly expand SME lending from 4% in 2018 to 20% by 2030.
According to the latest available report from the Saudi Central Bank (SAMA), the total value of debt crowdfunding in Saudi Arabia surged from SAR 1.4 million in 2019 to SAR 771 million in 2022, marking a remarkable growth.
Lendo raised SAR 132 million ($35.2 million) in total funding from leading investors, including the most recent Series B led by Sanabil Investments, a wholly-owned company by the Public Investment Fund (PIF).
Since its inception in December 2019, Saudi fintech Lendo has processed over 5,000 financing transactions on its platform, providing over SAR 2 billion ($600 million) in financing to SMEs and generating SAR 280 million ($74 million) in returns for investors.
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TA Telecom Introduces AnteThink: A New AI Decision Support Tool
![**TA Telecom Introduces AnteThink: A New AI Decision Support Tool for Enhanced Decision-Making**](https://adigitalboom.com/wp-content/uploads/2024/01/antethink-ta-telecom.png)
TA Telecom, a prominent player in the Middle East’s tech sector, has unveiled AnteThink, an AI-driven tool designed to enhance decision-making processes for individuals and businesses alike.
With a history of influencing the tech landscape through various initiatives, including advanced mobile solutions, high-volume payment platforms, and ventures in e-commerce, fintech, and analytics, TA Telecom has carved a niche for itself. Serving a vast user base of 40 million and processing an impressive 15 billion transactions across its platforms, TA Telecom has cemented its position as a tech industry leader, with some of its ventures achieving the status of Y Combinator companies.
Established in 2000, TA Telecom has emerged as a prominent player in the technology sector. With over 40 million users and processing 15 billion transactions annually, TA Telecom has made a notable impact. Recognized for its contributions by the Financial Times and featured on Deloitte’s list of fastest-growing tech companies in EMEA, TA Telecom is known for its adaptability and forward-thinking approach in the ever-evolving global tech landscape.
Sameh Ibrahim, CEO of TA Telecom, highlights the potential of AnteThink: “AnteThink reflects our commitment to leverage technology for practical impact. It aims to provide clarity and confidence in decision-making, whether in the professional or personal sphere. AnteThink is a tool that can empower startup founders, executives, and individuals to make more informed choices, alleviating the stress and uncertainty often associated with critical decision-making.”
Mostafa Ashour, CEO of Y Combinator-backed startup NowPay, shared his perspective on AnteThink: “AnteThink transformed our strategic planning, allowing us to explore various scenarios and prepare for different outcomes. It has strengthened our decision-making process, helping us navigate the complexities of the business landscape.”
AnteThink embodies TA Telecom’s commitment to innovation, focusing on supporting the startup ecosystem. The tool is tailored to help leaders and executives navigate the complexities of business management and strategic development by providing a clear picture of potential outcomes.
Key Features of AnteThink include:
1. Second Order Mode: Offering a comprehensive analysis of broader impacts, fostering a strategic mindset for long-term success.
2. Optionality Mode: Enabling detailed evaluation and comparison of different choices to ensure decisions align with strategic objectives and values.
3. Inversion Mode: Focusing on identifying and mitigating potential risks, thereby strengthening risk management strategies.
![TA Telecom Introduces AnteThink: A New AI Decision Support Tool for Enhanced Decision-Making](https://adigitalboom.com/wp-content/uploads/2024/01/antethink-screenshot-800x450.png)
Credit: Antethink
AnteThink’s advanced AI technology aims to assist decision-makers with insightful analytics, offering guidance through the decision-making process.
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GoDaddy’s Global Markets VP Predicts Egypt’s E-commerce to Hit $9.88 Billion by 2028
![GoDaddy's Global Markets VP Predicts Egypt's E-commerce to Hit $9.88 Billion by 2028](https://adigitalboom.com/wp-content/uploads/2023/12/Selina-Bieber-the-Senior-Director-of-Global-Markets-at-GoDaddy.webp)
Selina Bieber, the Senior Director of Global Markets at GoDaddy, has predicted a significant increase in Egypt’s e-commerce revenue. By 2028, it could reach $9.88 billion.
Godaddy is forming strategic partnerships and launching initiatives to help local entrepreneurs. These efforts align with Egypt’s digital transformation goals and its Vision 2030.
In an interview with the Arabic financial news “Amwal Al Ghad,” Bieber spoke about GoDaddy’s plans and how they match Egypt’s 2023 strategy. She highlighted the company’s aim to provide effective, easy-to-use digital tools and services. By 2024, GoDaddy wants to serve more customers in Egypt by making its digital tools more widespread.
The company is working closely with the Egyptian government, especially the Ministry of Planning. They are offering training programs to improve the digital skills of startups and existing businesses. GoDaddy’s services in Egypt include domain registration, web hosting, e-commerce solutions, and digital marketing tools.
Recent surveys support Bieber’s positive outlook for e-commerce in Egypt. They show a clear trend towards digital strategies among small businesses. Many are realizing the importance of having an online presence for their growth and success.
As GoDaddy continues its partnerships and supports government digital initiatives, its influence on Egypt’s digital landscape is growing. The company is committed to sustainability and reducing its carbon footprint. It aims not just for business growth but also to contribute to a sustainable and thriving digital economy in Egypt.
The 2028 projection indicates a vast potential for e-commerce, with GoDaddy playing a key role in this digital evolution.
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