Conduit, a fintech company specialising in B2B cross-border payments, has announced its expansion into Africa following a $6 million seed extension round led by Helios Digital Ventures, the venture capital arm of Helios Investment Partners.
Initially located in Latin America, where it launched its platform in August 2023, Conduit allows businesses to make seamless cross-border payments in US dollars to bank accounts via ACH or SWIFT, even without a US entity.
The company was originally launched as an API to connect fintechs and neobanks with crypto-backed earning products. It has now pivoted to focus on traditional banking after the 2022 crypto market downturn.
Conduit CEO Kirill Gertman noted that the shift has been incredibly well-received, particularly in regions where businesses have issues with access to essential payment rails. After its success in Latin America, the company recognised similar challenges in Africa, where the demand for efficient and transparent payment solutions is growing rapidly.
Conduit has already begun operations in Kenya and Nigeria, where it has partnered with local banks to simplify cross-border transactions. The company reports that its annualised transaction volume has surged to over $5 billion, with 20% of that volume coming from its new African markets. Conduit also sees huge potential for growth in Africa, expecting these markets to surpass Latin America by early next year.
The fintech’s expansion strategy in Africa will be led by Eric Wainaina, the former director of The Kenyan Wall Street, who will manage Conduit’s operations in the region. The company plans to expand further into Ghana and South Africa, where it will compete with established players like Aza Finance and YC-backed Verto and Waza.
In addition to its African expansion, Conduit has set its sights on breaking even and achieving profitability by the end of the year. The company’s broader roadmap includes extending its cross-border payment services to Asia and other regions, aiming to meet the growing demand for real-time global payments in frontier markets.
Wale Ayeni, managing partner at Helios Digital Ventures, said rebuilding the backend for global payments is important for better servicing African ecosystems and connecting them with the global economy.
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