Business
IFC Invests $10.5m In Interswitch
The International Finance Corporation (IFC) on Monday invested 10.5 million dollars in Interswitch Ltd, a Nigerian electronic payments company.
The Tide source quotes IFC as saying that the investment was part of efforts to help consumers at all income levels in Nigeria and other parts of Africa have improved low-cost access to financial services.
According to the World Bank Group member, the investment is part of an acquisition of Interswitch by a syndicate that includes Helios Investment Partners and Adlevo Capital Partners.
A statement from the IFC made available to our source, said the investment would allow Interswitch to have an opportunity to share in auto payment in the international community.
It said that the project would make Interswitch also to offer better access to easier forms of electronic payments and reduce cash in circulation, crime, fraud and corruption.
The statement said the investment would also allow low-income consumers to access sophisticated financial services and products.
Mr Mitchell Elegbe, founder and Managing Director of Interswitch Ltd, said “we value this partnership with IFC that will facilitate electronic payments services to a larger market in Nigeria and Sub-Saharan Africa.”
Solomon Adegbie-Quaynor, the IFC Senior Country Manager for Nigeria, said IFC was committed to development that extends access to financial services broadly in Nigeria.
Our source gathered that the investment is part of Interswitch’s partnership with IFC and its co-investors to support government’s vision and commitment toward a cashless society.
It was also gathered that Helios and Adlevo’s involvement will enable the private equity partners to expand their portfolios through a company that will produce strong development impact.
Interswitch facilitates card transactions, using its infrastructure that links debit, credit and prepaid cards issued by banks to a wide range of payment channels, including point of sale terminals, automated teller machines and web merchants.
Interswitch, which is currently functioning in Nigeria and Uganda, also operates Verve, a card scheme, which enables low-cost, high performance card services to consumers.