An Africa-focused remittances platform, Lemfi, recently said it has raised $33 million in a Series A round led by Left Lane Capital. Lemfi said it will use the capital raise to “expand its product offering to the United States, Europe, the Middle East, and Asia.”
Making Remittances Less Complicated
Lemfi, an Africa-focused remittances platform, recently raised a $33 million in a Series A round which was led by Left Lane Capital. In a press statement, Lemfi, which has a presence in Canada and the U.K., said it will use the capital raise to “expand its product offering to the United States, Europe, the Middle East, and Asia.”
In comments accompanying the capital raise announcement, Ridwan Olalere, a co-founder and CEO of Lemfi, seemingly characterized the successful round as an endorsement of the company’s objective of making financial services more accessible to immigrants. Olalere, who claims to have seen first-hand the challenges faced by migrants, also spoke of how Lemfi’s product offering has already made things less complicated for more than half a million people.
We’ve already made life easier for over half a million people, but we’re only just getting started. Our product is a game changer for users since traditional banks and other leading neo-banks have always steered clear of less common or more volatile currencies.
Olalere also suggested that before startups like Lemfi came along, many migrants were forced to use unsafe and informal channels when sending funds to their loved ones.
Launched in 2020 to enable low-cost remittance payments to Nigeria, Ghana, and Kenya, Lemfi has since added 10 new African remittance corridors. The addition followed the fintech startup’s acquisition of the licensed U.K.-based Rightcard Payment Services in late 2021. According to a press statement, Rightcard Payment Services has also secured an International Money Transfer Operator (IMTO) license from the Nigerian central bank.
Matthew Miller, principal at Left Lane Capital, lauded Lemfi’s willingness to build a “robust network of financial institution partners to facilitate cross-border payments for immigrants.” Miller added that his organization is happy to support Lemfi’s future endeavours.