Payment infrastructure company, Zone, has raised $8.5 million in an oversubscribed seed funding round led by VC firms Flourish Ventures and TLcom Capital.
The new funding will allow Zone to expand its domestic coverage and connect more banks and financial services companies, according to a statement from the company, according to nairametrics.
A large part of the proceeds will also be used to carry out a comprehensive pilot programme aimed at testing the Company’s ability to operate across borders, scheduled for 2025.
In addition, the company pointed out that further priority would be to ensure it is well equipped to extend its footprint throughout Africa in support of Intra-African and International Payments which will enable it to make progress towards its vision of being a Global Payment Network.
international blockchain-focused VC firms Digital Currency Group, VKAV (Verod-Kepple Africa Ventures), and Alter Global, each bringing niche sector expertise and credibility.
In his remark, the CEO and co-founder of Zone, Obi Emetarom, said, “The participation of high-quality investors despite the funding drought and the fact that we had more interested investors than we needed, is a sign of trust in the Zone brand and investor excitement about the opportunity to redefine payment infrastructure in Africa.
“As we step into this new phase at Zone, we are re-energized and our commitment to transforming Africa’s payment infrastructure is renewed. Our new investors and existing shareholders including CCA, Lateral Capital, Constant Ventures, and V8 bring more than just financial backing as their global scope and deep expertise make them invaluable partners for us.
“With their support, we are poised to accelerate our mission to connect every monetary store of value and enable real-time payments within and across geographical borders. Zone is committed to staying at the forefront of technological advancement and industry evolution in financial services.”
Partner at Flourish Ventures, Ameya Upadhyay, commenting on the investment in Zone, said, “We believe this is a fundamental leap that will allow customers to experience a completely new standard of reliability, speed and cost efficiency at the ATM, at POS machines and online. We are excited by the potential for Zone’s technology to be replicated across borders to advance payment innovation globally.
“The fact that Zone is led by Obi and Wale who are veterans of the banking industry reinforces our conviction that Zone can fulfill our shared goal of moving the entire sector forward.”
He noted that Zone’s technology enables direct communication between participants in the payment ecosystem for the first time in Africa.
Flourish Ventures, an early-stage global fintech venture firm with purpose will provide Zone with a global perspective, networks of industry influencers, and extensive Africa fintech expertise, paving the way for expansion into new markets.
TLcom Capital, a UK-based firm with deep local knowledge and understanding of Africa’s technology sector, exploits its current relationships with Nigeria’s leading decision-makers to set up an excellent base for Zone on the domestic market.
