Nigerian fintech start-up Klasha (www.klasha.com) attracted new investors including American Express Ventures, the investment arm of American Express (Amex). The FinTech and merchant service provider received a $2.1 million investment as part of a seed round launched last year. This is the first Amex investment in an African startup. With this, Amex joins Visa and Mastercard, which have been active in Africa’s fintech scene since 2018.
Klasha is a technology company focused on cross-border commerce solutions for African consumers and international businesses. KlashaCheckout allows African consumers to transact online across borders in local African currencies. The product portfolio included KlashaWire, KlashaCargo, Payment Links, and the Klasha App.
That year, Visa participated in Paystack’s $8 million Series A round, while Mastercard invested in Flutterwave. Klasha offers several services at the intersection of payments and e-commerce. Among them is an app (currently only available in Nigeria) for individuals to create a virtual dollar card to pay for services like a Spotify subscription. Then there’s a checkout feature for retailers outside of Africa that allows their African customers to pay in currencies like naira and shilling using bank cards or mobile money.