Just four weeks after African fintech startup Chimoney announced it was shutting down due to a lack of funding, the company has secured an unexpected lifeline through an acquisition that shows the growing value of regulatory licences in the global payments industry.
Chi Technologies Inc., the parent company of Chimoney, has signed an agreement in principle to be acquired by CapitalSage Vantage Limited, a subsidiary of CapitalSage Holdings, according to Chimoney founder Uchi Uchibeke.
If completed, the acquisition will make Chimoney CapitalSage’s first payments entity in Canada, expanding the group’s footprint beyond its existing operations in Nigeria, Kenya, the Gambia, the United Arab Emirates and the United Kingdom.
A startup that ran out of money
The acquisition comes just weeks after Chimoney publicly announced plans to wind down operations.
