Zeepay, a fintech company based in Ghana, announced Monday that it acquired $18 million in senior secured debt funding to improve its working capital and expand its cross-border payment and mobile money services throughout Africa.
The financing was arranged by South African advisory firm Verdant IMAP, which also structured a new security-sharing arrangement to facilitate future investments.
Zeepay specialises in digital wallets and remittances, operating in over 20 African countries. The funds will primarily support float financing, a key component in managing liquidity for real-time mobile money transactions and international remittances.
As Zeepay grows, founder and CEO Andrew Takyi Appiah thanked new and existing investors and said the new funding structure will make onboarding potential investors easier.
Innovative debt structure enhances Investor confidence and growth capacity
The $18 million investment is structured as senior secured debt with a shared-collateral framework. This arrangement allows new and existing lenders to have equal, first-priority claims on a pooled set of assets held by a neutral security trustee. An independent monitoring agent assesses the collateral’s value daily to ensure transparency and reduce negotiation hurdles for future investors.
This pari passu approach means new financiers can join using the existing collateral on the same terms, facilitating the efficient scaling of Zeepay’s operations while maintaining consistent terms for all parties involved.
Andrew Takyi Appiah noted, “The new structure will allow for simple and transparent onboarding of new investors as required as we implement our growth strategy”.
The funding reflects growing investor confidence in Zeepay’s role in bridging cross-border payment gaps by connecting global remittance networks to local mobile wallets. As mobile money adoption rises, Zeepay provides millions of Africans with digital banking services. In African fintech, the deal shows that novel loan mechanisms are used to scale operations without diluting equity.
With the increased demand for digital financial services, Zeepay can expand its goal to facilitate seamless remittances and mobile money transactions across the continent with this cash allocation.