Stripe buys Paystack, a Nigerian payment start-up.

On October 15, 2020, Stripe announced a $200 million acquisition of Paystack, a Nigerian payment startup. The price is another record for a Nigerian start-up. Paystack, which provides online and offline payment services, has a total of 60,000 business users in Nigeria and Ghana. This is not the first time the two companies have been linked.

Stripe led Paystack’s Round-A financing in 2018 and has continued to provide business advice to the latter ever since. Paystack will continue to operate independently, expand its activities in Africa and add more international payment methods.

Founded in 2015, Paystack is based in Nigeria and holds a commercial license from the Central Bank of Nigeria for Payment Systems Service Providers (PSSPs). Paystack has 2.7 million merchants, including Domino’s, Betway, CowryWise, etc. The monthly turnover is us $28 million. The business is mainly focused on Nigeria.

According to public information, Paystack stores 15% of online transactions in Nigeria. Paystack is also a co-financing channel for Luno, Africa’s largest French currency exchange.

Paystack supports payment methods such as credit cards, bank transfers, GTB 737, Visa QR, Mobile Money and more. MasterCard, Visa and Verve are supported (limited) by cards in currencies such as Nigerian Naira, Ghanaian Sedi and USD. Bank transfers support a number of local banks in Nigeria and only naira in the currency of the transfer.

Stripe is an online payment service based in San Francisco in 2010 by two brothers, Patrick Collison and John Collison, that provides users with online payment solutions.Stripe charges service companies 2.9 percent plus a 30 cent per transaction fee, allowing larger companies to get better prices, and Stripe is known for its user-friendly software.