Nedbank acquires iKhokha for R1.65 billion to enhance support SMES

Nedbank splashes out all-cash deal in acquiring digital payments solutions service

- EDWARD WEST

NEDBANK Group plans to acquire 100% of fintech innovator iKhokha in an all-cash deal of about R1.65 billion, a significant move in Nedbank's strategy to deepen its support for small and medium-sized enterprises through digital innovation and inclusive financial services.

Founded in 2012, iKhokha has become a leading partner to many thousands of South African entrepreneurs, and shares the market with competitors such as Yoco and Capitec Pay. The company, founded by Matt Putman, Ramsay Daly, and Clive Putman, provides card machines, digital payment solutions, and business tools to SMEs, processing north of R20 billion annually in digital payments and other services.

"This acquisition is a natural evolution of our existing relationship with iKhokha, and we are incredibly excited to welcome iKhokha to our Nedbank family," said Nedbank Group Managing Executive for Personal and Private Banking, Ciko Thomas.

The acquisition will see iKhokha become a fully owned subsidiary of Nedbank, while continuing to operate under its own brand and leadership team.