Having received “above R100 million” in fresh backing from private equity firm Apis Partners two weeks ago, Direct Pay Online Group or DPO, the largest online payments processor in East Africa, announced that it is merging with South Africa’s PayGate. The move creates a major pan-African online payment processor servicing local business owners in 24 countries from Cameroon to Mauritius.
PayGate, which was founded in 1999, has been providing payment processing and merchant services throughout Southern Africa for more than 15 years. The tie-up between the two companies provides their clients with access to more than 60 employees to provide bespoke development solutions and customer support in their local languages.
“The PayGate team has grown a fantastic business….,” commented Eran Feinstein, DPO’s CEO. “This merger allows the DPO Group to build a pan-African payments platform with a presence across eight countries and processing abilities in a further 24 countries. Together the Group will accelerate the growth of online payments in Africa as we seek to empower every person and organization to have the option to pay and be paid online anywhere, anytime and by any mode of payment.”
No additional details of the transaction’s terms were reported. PayGate will be integrated into the Direct Pay Online Group and the company’s Managing Director, Peter Harvey, will continue to lead the combined group’s activities in the South Africa Common Monetary Area.