Ghanaian fintech firm Zeepay has secured $18 million in senior secured debt funding to bolster its working capital and expand its mobile money and cross-border payment services across Africa.
The financing, arranged by South African advisory firm Verdant IMAP, underscores growing investor confidence in the company’s role in facilitating remittances and digital financial solutions on the continent.
The debt structure includes a shared-collateral framework, allowing new and existing lenders equal priority claims on a pooled set of assets held by a neutral security trustee. An independent monitoring agent will assess the collateral’s value daily, ensuring transparency and reducing negotiation hurdles for future investors. This pari-passu approach enables Zeepay to onboard additional financiers efficiently while maintaining consistent terms for all parties.
Andrew Takyi Appiah, Zeepay’s founder and CEO, emphasized the strategic importance of the funding. “This structure simplifies investor participation as we execute our growth plans,” he said, acknowledging support from both new and existing partners. The capital will primarily finance float operations, critical for managing liquidity in real-time mobile money transactions and international remittances.
Zeepay’s expansion comes amid rising demand for digital financial services in Africa, where mobile money adoption continues to outpace traditional banking. The company, which operates in over 20 countries, bridges cross-border payment gaps by connecting global remittance networks to local mobile wallets. Its solutions cater to a market where remittances remain a vital economic lifeline for millions.
The funding reflects broader trends in African fintech, where firms are increasingly leveraging innovative debt instruments to scale operations without diluting equity. Analysts note that shared-collateral models could set precedents for collaborative financing in regions with fragmented regulatory environments. However, the success of such structures hinges on robust risk management and asset valuation practices, particularly in volatile markets.
As Zeepay strengthens its footprint, the deal highlights the delicate balance fintechs must strike between rapid growth and financial sustainability. With mobile money transactions in Africa projected to exceed $1 trillion annually by 2026, the sector’s ability to attract structured investments will likely determine its capacity to drive financial inclusion while navigating economic uncertainties.
