Interswitch Limited says it has completed a 100% acquisition of Value Added Network Solutions Limited (VANSO Nigeria) to drive its expansion into the mobile banking sector.
VANSO is a mobile and security-focused financial technology provider, delivering cutting edge and innovative solutions in Africa.
Interswitch announced in a statement that the transaction will result in VANSO’s highly successful mobile banking, SMS and security business lines being fully integrated into Interswitch’s digital commerce and technology operations in Nigeria. Interswitch says that the services will be extended across the continent where they can leverage on Interswitch’s geographic expansion.
The company says the current management team of VANSO will be absorbed into the Interswitch management organisation, while VANSO CEO, Denis O’Brien will lead the Interswitch mobile payment’s business unit with a mandate to drive aggressive organic and geographic growth. VANSO’s existing shareholders will become shareholders of the Interswitch Group, aligning the long-term interests of both companies towards long-term growth.
[quote font=”georgia” font_size=”22″ font_style=”italic” align=”left” arrow=”yes”]Interswitch sees the integration with VANSO, whose core strengths lie in mobile technology, to allow it to provide comprehensive solutions leveraging fast growing subscriber bases for regional and international businesses looking to take advantage of growth opportunities in Africa.[/quote]The acquisition will enhance the Interswitch mobile financial services offering, bringing fast growing segments like virtual airtime top-up, bills payments, remittance and transfers, banking and e- commerce in house, with rapid geographic expansion opportunities and across multiple delivery mechanisms including USSD, SIM toolkits and advanced mobile applications, according to the Nigerian e-commerce company.
Interswitch sees the integration with VANSO, whose core strengths lie in mobile technology, to allow it to provide comprehensive solutions leveraging fast growing subscriber bases for regional and international businesses looking to take advantage of growth opportunities in Africa.
Mitchell Elegbe, Group Managing Director and Chief Executive Officer of Interswitch, says that “by integrating operations, we not only secure access to new payment channels, but a highly skilled leadership team as well, while VANSO now has access to new markets, a mutually beneficial step for both our companies.”
“The mobile banking sector in particular is experiencing rapid growth, with the number of mobile banking customers projected to rise exponentially across the continent within the next 3-5 years. Alongside VANSO, Interswitch is even more strategically placed to capitalise on growth in the payment solutions industry and to continue delivering innovative solutions for Africa,” Elegbe adds.
Also commenting, Denis O’Brien, VANSO CEO said: “Having secured a market leading position in Nigerian mobile financial services over the last 13 years, we are excited that the integration with Interswitch will enable our technology to go further, transforming payment solutions across borders and remaining at the forefront of development in the industry.”
Interswitch is an integrated electronic payment and commerce company that facilitates the electronic circulation of money between individuals and organizations, currently present in 4 countries across Africa. While Vanso Nigeria, established in 2005, is a financial technology provider focused on delivering innovative solutions in Africa. The company provides highly secure messaging, payments and banking solutions to a range of telecommunications and financial services clients in Nigeria.