Nala raises USD 40 million in Series A funding

Nala has raised USD 40 million equity in a Series A funding round to widen its portfolio through a new B2B payments platform.

 

As per the announcement, the round was led by US-based VC firm Acrew Capital, with participation from DST Global, Norrsken22, HOF Capital, and existing investor Amplo. The round also included various angel investors, such as fintech founders of Chime and Robinhood.

Acording to the CEO, the latest funding, which follows a USD 10 million seed round in 2022, is intended to support the company’s global expansion. The company aims to broaden its remittance services to reach markets in Asia and Latin America.

Currently, Nala's consumer app allows users in the EU, UK, and US to transfer money to 249 banks and 26 mobile money services across 11 African countries. In regions where Nala is integrated with mobile money platforms like Kenya-based M-Pesa, remitters can pay bills directly into local mobile wallets.

The decision to enhance payment capabilities came from user feedback desiring comprehensive control over their finances. Nala intends to extend these enhanced features to the new markets they plan to enter, starting with Asia.

 

Nala's B2B payments platform

Nala is also intensifying its efforts on its B2B payments platform to support global businesses in making transactions into and out of Africa.

Company officials have stated that Nala is reinvesting the new funds to upgrade its infrastructure, aiming to provide reliable, low-cost payments for all users. With the introduction of its own payment rails and the expansion of its B2B platform, Nala is actively building and driving the change it envisions.

Rafiki, the startup's new B2B platform, also underpins Nala's consumer app. This payments platform was developed to ensure the reliability of their remittance services and to cater to global businesses seeking dependable payment solutions.

Rafiki integrates directly with banks and mobile money providers, enabling Nala to ensure consistent service availability for its consumer app. Moreover, having its own payment infrastructure allows Nala to reduce charges for users of its consumer app.