South Africa’s Leading Digital Bank TymeBank Raises $77.8M – peopleofcolorintech

South Africa’s leading digital bank, TymeBank, has successfully raised $77.8 million in a pre-Series C funding round.

The round was co-led by African growth-stage investor Norrsken22 and global impact investment firm Blue Earth Capital. 

This increase of capital brings TymeBank’s total raised funds to over $260 million, marking a milestone in the bank’s growth and expansion plans.

Existing investor Tencent, which spearheaded TymeBank’s $180 million Series B round in December 2021, also participated in this round, further increasing its stake to become the third-largest shareholder. 

Strategic Investments and Growth

Launched in 2019 and controlled by billionaire businessman Patrice Motsepe, TymeBank has quickly garnered a strong customer base, reaching 7 million customers in South Africa alone. 

Owner Motsepe holds a substantial stake in TymeBank through ARC Financial Services Holding – a Black-owned and controlled company – and has supported the funding throughout.

As an exclusively digital bank using a hybrid model it combines digital banking with physical touchpoints at retailers and partner locations which has been important in reaching unbanked and underbanked populations. 

Expanding Footprint in Southeast Asia

The newly acquired capital will be pivotal for TymeBank’s growth strategy, particularly in Southeast Asia. 

With the fresh funding, TymeBank aims to strengthen its presence in the Philippines and explore further opportunities in Southeast Asia, leveraging its successful model to serve new markets.

“We are delighted to invest in Tyme. Their unique product and impressive growth have set them apart,” said Natalie Kolbe, managing partner at Norrsken22.

“We are excited to support this exceptional team as they continue to revolutionize banking for the underbanked.”

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Image Credit: Patrick T. Fallon/Bloomberg