Kenyan payment services provider, DPO Group, has acquired South African payment processing service Payfast in a multimillion rand deal.
This is DPO Group’s fifth company acquired since its inception in 2006.
DPO chairman announced that the deal had been made through a mix of shares and cash and that the Payfast management team will remain key shareholders in the DPO Group. DPO Group’s acquisition of Payfast is to be largest payments transaction to have taken place in South Africa to date.
The deal is said to be higher than the R100 million that the DPO Group paid in the acquisition of Paygate in 2016.
The integration of PayFast into DPO’s services will increase the range of payment options available to DPO Group’s business customers, while providing a pan-African solution to PayFast’s existing customer base. The DPO Group will now serve over 100 000 merchants across 18 African markets. The merger will allow all of the DPO’s services to be available on a single platform to both DPO Group and PayFast merchants significantly improving their capacity to do business not only across Africa but also around the world.
DPO also announced that it is looking to expand to 10 more Africa countries. Some of the countries are to include Senegal, Morocco, Tunisia, Egypt, South Sudan, Mozambique and Angola.
Last year DPO consolidated the six Southern African payments services it acquired into one brand, DPO PayGate.
Daniel Mpala, Ventureburn Contributor