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South Africa fintech, Stitch acquires Exipay

January 27, 2025

In a strategic move to broaden its service offerings, South Africa fintech, Stitch acquires Exipay, a company specializing in payment solutions.

This acquisition marks Stitch’s foray into the realm of in-person payments, enhancing its ability to deliver comprehensive financial services to prominent enterprises throughout Africa.

Following the acquisition, ExiPay’s platform has been seamlessly integrated and rebranded as “Stitch In-Person Payments.” This newly launched solution is meticulously designed to meet the needs of large-scale businesses, enabling them to efficiently handle face-to-face transactions while leveraging Stitch’s extensive suite of financial tools.

Year founded

Founded in 2019 by Kiaan Pillay, Priyen Pillay, and Junaid Dadan, with its headquarters in Cape Town, Stitch has garnered recognition for its pioneering approach to open banking and digital payment solutions.

The company’s technology empowers businesses to access user financial accounts, streamlining transactions and facilitating digital commerce.

The acquisition of ExiPay represents a deliberate effort by Stitch to expand its capabilities into in-person payment systems, addressing a critical demand within Africa’s swiftly changing financial landscape.

By offering customized solutions, Stitch aims to tackle challenges such as transaction inefficiencies and limited payment interoperability, issues that have long affected businesses across the continent.

The rebranded platform is anticipated to gain momentum among corporations in sectors like retail and hospitality, which depend heavily on high volumes of in-person transactions.

Clientele base

Stitch’s clientele includes major enterprises such as MTN, MultiChoice, Yoco, and Standard Bank’s SnapScan in South Africa. The company emphasizes reliability, higher uptime, and quicker problem resolution by eliminating intermediaries and establishing direct connections with banks and networks.

Stitch’s venture into in-person payments positions it as a formidable contender in Africa’s dynamic fintech market. This acquisition reflects a broader trend of consolidation within the sector, as companies strive to enhance their service portfolios and capture larger market shares.

Competitors like Paystack and Flutterwave have also made notable advancements in broadening their product offerings, intensifying the competition to lead Africa’s payment ecosystem.

Beyond its corporate implications, this move is poised to contribute to greater financial inclusion by promoting the adoption of digital payment solutions across Africa.

Funding

In February 2022, Stitch secured $21 million in Series A funding, led by The Spruce House Partnership, to expand its API infrastructure and embedded finance platform.

Stitch entered the Nigerian market in October 2021, accompanied by a $2 million seed extension with investments from Future Africa and Norrsken Foundation, among others.

As Stitch continues to adapt to the evolving market landscape, its strategic acquisitions and innovations underscore its dedication to transforming the financial environment in Africa. By focusing on key sectors and addressing significant gaps, Stitch is well-positioned to strengthen its role in the continent’s fintech arena.

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