Nala Secures $40 Million Series A Funding: Key Points
- Funding Details:
- UK-based remittance fintech Nala raised $40 million in a Series A funding round.
- The round was led by Acrew Capital with participation from existing backers Amplo and NYCA Partners.
- Additional support came from DST Global, HOF Capital, and Norrsken22.
- Angel investors included Vlad Tenev of Robinhood and Ryan King of Chime.
- Purpose of Funds:
- To scale Nala’s consumer business beyond Africa, targeting the global migrant diaspora.
- To build and expand its B2B payments platform, Rafiki.
- Expansion Plans:
- Nala plans to start its international market expansion in Asia.
- Rafiki Platform:
- Rafiki aims to become a robust payment infrastructure for Africa.
- It focuses on ensuring reliability, managing treasury, improving error mapping, reducing user costs, and streamlining payouts and collections.
- Company Background:
- Founded in 2017, Nala initially operated as a local money transfer service in Tanzania.
- In 2021, it shifted focus to facilitate foreign remittances.
- Nala aims to address Africa’s high cost of sending money.
- Recent Performance:
- Nala reported a 10-fold increase in revenue over the past year.
- The start-up achieved positive cash flow and reached profitability.
