According to the company, the decision was taken under contractual terms and is separate from the ongoing independent investigation into workplace misconduct claims.

In its statement, the payment firm noted that it acted within its rights and “followed due process” before reaching the decision, adding that all financial obligations to Ezra had been settled.

“As a regulated company operating in multiple markets, we have a responsibility to act quickly when conduct has the potential to undermine trust,” Paystack said. “After reviewing the situation, we exercised our right under his contract and followed due process to end his employment.”

The company stressed that the move does not affect the independent review into the misconduct allegations, which is being handled by external law firm Aluko and Oyebode. The investigation is still underway, and updates will be provided when concluded.

Ezra, in an earlier statement, claimed the company did not follow its internal procedures before his dismissal. He said his legal team is reviewing the matter, insisting that the decision was taken before the investigation was completed and without giving him an opportunity to respond.

He stated: “The decision was taken before the supposed investigation was concluded, and without any meeting, hearing, or opportunity for me to respond to the issues raised, in clear contravention of the terms of the suspension and Paystack’s own internal policies.”

An insider source told Techeconomy’s reporter that Ezra has not fully acknowledged the weight of his resurfaced tweets despite the public backlash and maintains they were harmless.

“This raised questions internally about whether he could continue in a leadership role while the company was facing intense public attention and heightened concern from regulators,” the source said.

The post You Have Caused Us ‘Significant Reputational Damage’ – Paystack to Ezra Olubi appeared first on Tech | Business | Economy.

Olubi was initially suspended while Paystack launched an independent investigation into the allegations.

The company later decided to end his employment.

Ezra co-founded Paystack in 2016 with Shola Akinlade. The e-payment platform was sold to Stripe in 2020 for $200 million a deal that has shaped the Nigerian FinTech ecosystem.

In 2022, Olubi and Akinlade were honoured with the Officer of the Order of the Niger (OON) National Honour by President Buhari’s administration, recognising their innovative contributions to Nigeria’s Technology sector.

In response to his termination, Olubi stated that Paystack dismissed him before completing the Independent investigation and without inviting him to discuss the matter, which he said was against company policy.

He noted that he had refrained from commenting when he was first suspended to avoid interfering with the investigation, expecting a fair and unbiased review of the allegations. Olubi insisted that the claims of sexual misconduct do not reflect his character or conduct.

“I have always conducted myself professionally and treated colleagues and associates with respect and dignity,” he said.

Olubi added that his legal team is reviewing the outcome of the events and will take further action if deemed necessary.

He concluded that he will not make additional comments at this time.

As of this report, Paystack has not issued an official statement on Olubi’s termination, though it had previously confirmed his suspension when the allegations surfaced.

The post Why Ezra Olubi May Sue Paystack for Terminating his Appointment as Co-Founder/CTO appeared first on Tech | Business | Economy.

Founded in 2021 by Femi Aluko, Olumide Ojo, and Lanre Yusuf, Chowdeck makes swift deliveries within an average of 30 minutes. Aluko’s experience in Dubai, where he encountered exceptional customer service and prompt deliveries, was the inspiration for launching the company.

Despite entering a market already occupied by established players like Jumia Food and Bolt Food, Chowdeck has achieved commendable growth. 

The company attributes this success partly to its focus on profitability from the outset. Unlike competitors who relied heavily on discounts, Chowdeck prioritizes sustainable business practices by minimizing discounts and offering them strategically on behalf of partner restaurants.

“We figured out the right economic model for our delivery business,” said Aluko, a former engineer at Stripe subsidiary Paystack. “We target the right customers who prioritize convenience and are willing to pay for fast deliveries, rather than trying to capture everyone with unsustainable discounts.”

The exits of Jumia Food and Bolt Food from the Nigerian market in late 2023 further enhanced Chowdeck’s user base, which has nearly doubled in the past six months.

Chowdeck emphasizes convenience as its key selling point. The platform utilizes geotagging to optimize delivery routes and offers varying vehicle options like bicycles and motorbikes. Additionally, strict timeframes are enforced on both vendors and riders to ensure prompt service.

Beyond food deliveries, Chowdeck has expanded its services to include grocery and pharmacy deliveries through partnerships with supermarkets like ShopRite and pharmacies. This multi-vertical approach has seen Chowdeck’s annual gross merchandise value (GMV) surpass ₦7 billion ($5.8 million) in 2023. The company currently operates in eight Nigerian cities, with Lagos generating 80% of its business.

The newly acquired capital will enable Chowdeck to improve operational efficiency and expand to more Nigerian cities. The company also plans to invest in enhancing the experience for its customers, vendors, and especially its delivery riders, whose earnings currently exceed three to five times the national minimum wage.

“We saw the potential impact we could have on the delivery landscape in Nigeria, particularly around rider earnings,” said Aluko. “Many of our riders consistently earn between ₦100,000-200,000 ($83-$170) monthly.”

Chowdeck’s seed round attracted investors, including Y Combinator, Goodwater Capital, and prominent founders like Simon Borrero and Juan Pablo Ortega of Rappi, and Shola Akinlade and Ezra Olubi of Paystack.

The post Chowdeck Raises $2.5 Million to Disrupt Food Delivery Market appeared first on Tech | Business | Economy.