By Adedapo Adesanya
MFS Africa, a pan-African digital payments hub, has completed its acquisition of Capricorn Digital Limited popularly known as Baxi, five months after the firm first announced its intention to carry out the transaction.
In October 2021, Business Post had reported the acquisition advised by Verdant Capital. However, it was subject to pending approval from the Central Bank of Nigeria (CBN), which has now been granted.
According to a statement, Capricorn Digital Limited, also known as Baxi, is one of Nigeria’s largest independent SME-focused electronic payment networks, with over 90,000 agents.
“It provides a cash-in/cash-out offering as well as value-added services (account opening, money transfer, bill payment and more) to the last mile.
“The acquiring Baxi is also an opportunity to provide entry into the Nigerian market for MFS Africa.
“Baxi simplifies and integrates online and offline payments for SMEs and merchants in Nigeria through its omnichannel distribution network, while MFS Africa simplifies cross-border payments and integrates payments via one hub,” the statement said.
It is said that Baxi’s growth has accelerated over the last 24 months, achieving over $1.6 billion worth of transactions in 2021.
It noted that MFS Africa would build Baxi into a key node on its digital payment network, enabling customers to make regional and global payments to and from Nigeria.
Founded in 2014 by Mr Degbola Abudu and Mr Folu Majekodunmi, Baxi is one of Nigeria’s largest independent SME-focused electronic payment networks. It provides a comprehensive range of services to the last mile including cash-in/cash-out, account opening, money transfer and bill payment.
Baxi is one of the largest independent non-bank SME focused electronic payment networks in Nigeria operating an Omnichannel platform that enables digital payment through mobile, in-store location, online, wallets and B2B channels.
MFS Africa also intends to expand Baxi’s proposition for offline SMEs to select markets within MFS Africa’s footprint of 320 million mobile wallets across more than 35 African countries.
Dipo Olowookere