MultiChoice, Rapyd and General Catalyst have entered into a joint venture aimed at developing an integrated payment platform for the African continent.
In a statement today, the pay-TV group says the joint venture will operate under a new company called Moment.
Moment will offer expanded payment infrastructure for businesses across Africa, helping them collect and make payments “easier, quicker and more affordable” in any manner their buyers or suppliers prefer, it states.
The new company will offer additional options for consumers to spend and save money. The aim is to transform the African payments landscape by making digital payments more accessible and reliable for domestic, cross-border and global payments.
“We are excited about our venture with Rapyd and General Catalyst. It will address the need for an accessible and reliable payment platform for many small businesses and millions of consumers in Africa,” comments MultiChoice Group CEO Calvo Mawela.
“Investing in this venture is a logical progression for us, as we already process payments every month from 22 million households across 50 countries in Africa. Moment fulfils our strategy to expand our ecosystem, by investing in adjacent businesses that provide scalable services, underpinned by technology.”
According to the statement, Moment will consolidate the $3.5 billion (about R69 billion) in payments that MultiChoice processes annually.
“We are thrilled to be able to partner with MultiChoice and our network partners to provide Africa’s most complete payment platform for businesses through Moment,” says Arik Shtilman, CEO of Rapyd.
“Africa is one of the most exciting markets in the world – with tremendous opportunities to expand the use of digital payments, drive cash payments to real-time digital payments and capitalise on the tremendous entrepreneurial drive of African businesses.”
Adam Valkin, MD of General Catalyst, adds: “Africa represents one of the most exciting investment opportunities for global investors. Over the next 20 years, most of the population growth of the world will be happening in Africa, along with increasing urbanisation.
“African consumers and businesses are not only moving business online, but will be the labour force for the world across the next 20 years.”
MultiChoice notes the long-term plan is to provide the infrastructure for Pan-African payments for the 44 million small businesses operating on the continent. It also wants to turn the 90% of retail transactions currently taking place in cash, into digital payments.
The company indicates Moment also aims to make digital transactions more accessible to the 350 million consumers that are underbanked or not banked at all.
“Moment gives MultiChoice another opportunity to make a meaningful contribution to the economic development of the African continent. It will play a key role in accelerating cash-to-digital payments for all consumers and businesses, and making the continent more investment-ready for global players, by connecting payments from Africa to the world,” Mawela concludes.