Tyme Completes US $180million Capital Raise from Tencent and CDC

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Tyme, 1 of the fastest-growing integer banking groups globally, has successfully secured investments from Tencent and CDC to implicit its US $180million Series B superior raise. The concern from Tencent and CDC is pegged astatine an further US$70 million. Tencent is simply a world-leading net and exertion institution based successful China, and CDC Group is the UK’s improvement concern instauration and interaction investor.

Tyme, which has its roots successful South Africa, is utilizing the US $180million it has raised to money and turn TymeBank successful South Africa and to money GOTyme successful the Philippines, wherever it has secured a integer slope licence successful concern with the starring Filipino conglomerate, the Gokongwei Group, with the anticipation of further planetary expansion. The archetypal portion of Tyme’s Series B rise concluded earlier this twelvemonth erstwhile it secured US$110 cardinal from Apis Growth Fund II, a backstage equity money managed by Apis Partners LLP, and the Gokongwei’s JG Summit Holdings (JG Summit).

The investments volition alteration Tyme to usage its integer infrastructure to accelerate the rollout of fiscal services to TymeBank’s historical wide marketplace lawsuit base. The 2 investor’s superior and expertise volition besides beryllium utilized to amended Tyme’s quality to negociate hazard and enactment Tyme’s enlargement into markets wherever CDC has a presence. CDC’s concern successful Tyme successful South Africa is portion of its strategy to enactment businesses that supply captious infrastructure, specified arsenic integer fiscal services, to traditionally underserved groups. African Rainbow Capital remains Tyme’s bulk shareholder. TymeBank, which is 1 of the world’s fastest-growing integer banks, has acquired 4 cardinal customers successful 32 months, with noticeable acceleration successful its acquisition rate. The hybrid exemplary of integer banking and carnal work has made banking accessible to South Africans crossed the economical spectrum. It has well-established partnerships with nationalist retailers Pick n Pay and Boxer arsenic good arsenic the largest religion successful South Africa, the Zion Christian Church. It besides precocious partnered with starring manner retailer TFG, The Foschini Group (subject to regulatory approvals wherever applicable), to diversify its lawsuit basal into higher income segments and to supply a viable pathway to liable user lending.

TymeBank has continued to grow its offering, having precocious launched its buy-now pay-later product, MoreTyme; a fig of value-added services including the quality of customers to beryllium paid their salaries a time early; and assorted off-balance expanse products specified arsenic insurance. It has maintained precocious levels of lawsuit restitution arsenic good arsenic precocious levels of terms and savings complaint competitiveness passim its maturation trajectory. Most caller TymeBank accounts are opened astatine kiosks; the slope has, however, experienced a marked summation successful accounts being opened online and good arsenic a progressive displacement from currency deposits to physics transfers. It presently holds R2.8 cardinal successful deposit balances, each from consumers and sole proprietors, and has taken successful R33 cardinal successful gross deposits from the nationalist since the onset of the pandemic successful March 2020.

Mr Coen Jonker, co-founder of Tyme commented: “This is simply a precise invited concern from Tencent and CDC. It is simply a wide ballot of assurance successful our integer banking offering arsenic good arsenic our enactment teams successful South Africa, Singapore, and the Philippines. Tyme’s planetary footprint present includes a merchandise improvement and engineering hub successful Ho Chi Minh city, Vietnam and banking businesses successful South Africa and the Philippines. We person successfully attracted a squad of skilled people, which includes implicit 2 100 engineers, and established strategy, concern development, data, analytics and Artificial Intelligence (AI) functions successful our planetary office successful Singapore.”

The concern by Tencent and CDC represents a beardown endorsement for some TymeBank – arsenic 1 of the world’s fastest increasing integer banks – and for South Africa’s banking assemblage overall. TymeBank is afloat regulated and held to the aforesaid standards of information and information arsenic each different banks successful South Africa. TymeBank is the archetypal slope successful South Africa to beryllium operated afloat disconnected a cloud-based infrastructure network. It was besides the archetypal slope to beryllium granted a commercialized banking licence since 1999.

Commenting connected the transaction, TymeBank CEO Tauriq Keraan said: “This is simply a momentous lawsuit for TymeBank. We look guardant to continuing to show our beardown strategical and execution capabilities to each our investors and to payment from the heavy planetary expertise that Tencent and CDC person accumulated done a multitude of investments successful integer businesses. We are arsenic excited astir the accidental to prosecute the synergies that beryllium betwixt each our investors and partners, yet to guarantee added worth for our customers.”

Dr Patrice Motsepe Chairman of African Rainbow Capital, bulk shareholder of Tyme, said: “We are delighted to invited Tencent and CDC arsenic our caller co-investors successful Tyme. The quality to pull investors of this calibre is simply a testament to the spot of Tyme’s worth proposition, and its management. The occurrence of TymeBank successful South Africa is an illustration of the innovation of Tyme’s fiscal services offering arsenic evidenced successful our concern model. We look guardant to a long, palmy narration with Tencent and CDC.”

In the Philippines, GOTyme was successfully awarded 1 of six integer banking licences successful August this year. Tyme’s strategy is to embed banking successful people’s mundane lives, making it an integral portion of buying and concern experiences. This is peculiarly important successful a state with an unbanked colonisation of implicit 70%. The build-phase is presently underway successful the Philippines, and Tyme is connected way to motorboat successful the 3rd 4th of 2022. It is aiming to leverage its concern with JG Summit and its retail ecosystem. The finalisation of the investments is taxable to conditions precedent and regulatory approvals, which are mean for transactions of this nature.

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