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Nigeria Startups Raise $2.5Bn in Funding in 5 Years

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Startups in Nigeria have raised about $2.5 billion in the last five years, representing aggregate funding, which startups received between 2017 and last year.

Nigeria Startups Raise $2.5Bn in Funding in 5 Years

For instance last year, startups operating across several sectors raised $1.37 billion, according to various data explored by The Nation.

This was out of about $4 billion funding that startups in Africa received.

One of the biggest success stories was Chipper Cash, which raised a total of $250 million. On the whole, Nigeria boasts of over 200 deals for the year.

According to analysts, financial technology services contributed 73.5 percent as Nigerian startups raised $1.09 billion. In 2020, Nigerian startups raise $117,481,508.

The key companies, which benefited from funding included Flutterwave,54 Gene, Helium health,Kuda bank,TradeDepot,Field Intelligence, Medsaf, Autochek and Rensource.

In 2019, Nigerian tech startups got $663.24 million out of the  $1.34 billion raised in funding in Africa, according to the Decoding Venture Investments. Foremost among them were Interswitch, OPay, Andela and Palmpay, which accounted for most of the top venture deals on the continent.

In 2018, startups raised $ $178.3 million. That year,   Google gave out $2million in grants to 12 Nigerian companies in the inaugural African edition of the Google Impact Challenge.

In 2017, out of the $560 million technology startup investments that entered Africa, Nigeria earned $114.6 million. The country ranked third after South Africa and Kenya, which got $167.9 million and $147 million. The three countries accounted for 76 per cent of the total funding that came into the region last year.

According to Global System for Mobile Communications (GSMA), investment in the tech startup ecosystem has been growing. So far, Kenya, Nigeria and South Africa remained the most popular investment destinations.

According to Disrupt Africa, the amount of funding raised on the continent has been on the rise since 2017.

In 2017, startups in Africa raised $195.06million; $334.52million in 2018; $491.62million in 2019; and $701.46million in 2020.

This year there is an indication more funding is coming for startups across the country. Multi-merchant rewards platform ThankUCash has raised US$5.3 million in seed funding as it plans expansion into new markets and further product launches.Co-founded in 2018 by Simeon Ononobi, Suraj Supekar, Madonna Ononobi and Harshal Gandole, ThankUCash offers cashback on purchases and deals from thousands of merchants, which in turn helps merchants retain customer loyalty, increase revenues, and grow.

The company operates in Lagos, Abuja and Port Harcourt, and plans to use the funds to scale operations to other cities across the country, and expand to Ghana and Kenya. It will also introduce two new products, a remittances service and a “buy now, pay later” (BNPL) infrastructure.

Also, credit management fintech startup, BFREE has raised a $1.7 million pre-Series A funding round and strengthened its management team ahead of global expansion.

Founded in August 2020 by Chukwudi Enyi, Moses Nmor and Julian Flosbach, BFREE offers ethical digital-first credit collection solutions for financial institutions in emerging markets.  The  startup  manages collection processes for more than 30 digital lenders, microfinance banks, and commercial banks in Nigeria and Kenya.

This week, Silicon Valley-based accelerator, Y Combinator which played a role in companies  such as Flutterwave, Paystack, Kobo360, Cowrywise, Kudi,  among others said it  has increased its standard deal size to US$500,000.Until now, YC invested US$125,000 for seven per cent equity.


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Nigeria CommunicationsWeek believes that technology makes life more exciting and helps improve the lives of people around Nigeria and indeed the world. So since 2007, we have devoted our energy to independent reportage of technology and how they affect lives.

E-Business

Hisense Electronics Unveils Flagship Showroom in Abuja

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By Fabian Tarpael, Abuja

Hisense electronics unveiled a flagship showroom in Abuja over the weekend. Speaking at the event, Mr. Mustapha Khries, the Abuja Branch Manager of the Fouani Group, highlighted the significance of the flagship store, describing it as the first of its kind in the entire West African region.

He also addressed the challenges facing businesses in Nigeria, particularly the high exchange rates and transportation costs.

“The Fouani Group remains resilient and ready to overcome challenges, unlike others who often exit the market when faced with similar issues.”

Ms. Haifa Du, Senior Sales Manager for Hisense Electronics, emphasized the brand’s commitment to affordability and innovation, stating that Hisense offers the most cost-effective and advanced solutions in the market.

The event underscored Hisense’s dedication to technological innovation and sustainability while reaffirming its leadership position in the consumer electronics market.

Mr. Robbin Wei, Senior Sales Manager of Hisense Group, supported by Mr. Greg and Ms. Haifa Du, showcased various innovative products from the new flagship store.

Among the standout products showcased include; The Hisense 110″ Smart Ultra AMOLED TV, featuring unique capabilities such as a solar-powered remote control and a “locate remote” function to find misplaced remotes easily.


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PalmPay, Jumia Partner to Launch Integration for Shoppers in Nigeria

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PalmPay, Africa-focused fintech operating Nigeria’s most used mobile wallet, and Jumia, Africa’s e-commerce giant, today announce a strategic partnership to enhance the digital payment ecosystem on the continent, starting with payment integrations and co-marketing efforts in Nigeria.

This partnership underscores both parties’ commitment to developing the digital payment ecosystem in Nigeria and grow the use of the cashless economy.

WIth PalmPay now available as a payment method, shoppers on Jumia will now be able to pay for their purchases with the option to check out with their PalmPay wallet, ensuring a seamless user experience and transaction reliability through the direct integration.

“We are proud to partner with Jumia as we bring together the best of fintech and e-commerce to redefine the online shopping experience,” said Sofia Zab, Chief Marketing Officer, PalmPay. “This strategic alliance aligns perfectly with our shared commitment to delivering a superior user experience and exceptional value to our customers.”

Speaking on the partnership, Sunil Natraj, CEO, Jumia Nigeria added: “At Jumia, we are dedicated to creating value for our customers by ensuring a convenient, reliable, and secure shopping experience.

“This partnership with PalmPay strengthens our commitment to enhancing the digital payments within our platform. By integrating PalmPay, we are providing more options for customers to access affordable and quality goods with the convenience of cashless transactions.”

This alliance marks the beginning of a long-term collaboration between two industry giants, aiming to drive innovation, increase convenience for consumers, and foster the adoption of digital payments across Africa.

To celebrate the launch of the partnership, PalmPay and Jumia are launching a special Christmas campaign, running from December 11th to 30th. During this period, customers who make purchases on Jumia using the PalmPay payment method will stand a chance to win exciting cash rewards. More details can be found on the brands’ respective social media pages. @palmpay_ng and @JumiaNigeria.


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Aero Contractors Launches “12 Days of Christmas” Campaign

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Aero Contractors is thrilled to announce the launch of its “12 Days of Christmas” campaign, a festive and engaging social media initiative designed to spread holiday cheer and reward loyal customers.

Running from December 13 to December 24, 2024, this exciting campaign underscores Aero Contractors’ commitment to connecting families, friends, and communities during the holidays.

The “12 Days of Christmas” campaign invites travel enthusiasts, loyal customers, and holiday travelers to participate in fun and interactive activities on Aero Contractors’ social media platforms, including Instagram, Facebook, and X (formerly Twitter). Each day will feature engaging posts such as trivia, puzzles, and challenges designed to ignite the festive spirit and encourage community participation.

Participants are encouraged to follow Aero Contractors’ social media pages, engage with the daily posts by liking, commenting, or sharing, and follow the specific instructions for each day’s activity.

Winners will be selected daily and announced on the respective platforms. Exciting prizes await participants, with the grand reward of a free return economy class ticket—a perfect gift for reconnecting with loved ones or exploring new destinations this holiday season.

“At Aero Contractors, we believe in the power of togetherness, especially during the holidays,” said Capt. Ado Sanusi, Managing Director of Aero Contractors.

“Our ‘12 Days of Christmas’ campaign is our way of giving back to the community that has supported us throughout the year. It’s an opportunity to engage, celebrate, and reward our customers while spreading joy and festive cheer.”

This campaign targets travel enthusiasts, loyal Aero Contractors customers, and families looking to make the most of the holiday season. Through this initiative, Aero Contractors reaffirms its dedication to safe, reliable, and efficient air travel, bringing people closer when it matters most.

Follow Aero Contractors on Instagram, Facebook, and X to join the “12 Days of Christmas” campaign. Engage daily for a chance to win a free return economy class ticket and other exciting offers.


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