Mastercard to invest $100 mln in Airtel Africa's mobile money unit

Global payment processor Mastercard Inc will invest $100 million in Airtel Africa’s mobile money operations, valuing the business at $2.65 billion, the London-listed company said on Thursday.

Airtel Africa is targeting a public listing of Airtel Mobile Commerce BV (AMC BV) within the next four years. Earlier this month, private equity firm TPG’s The Rise Fund invested $200 million in AMC BV.

Mastercard will hold a minority stake in AMC BV, in line with Airtel Africa’s plan to monetise the mobile money business by selling up to a 25% stake in the unit, the company said.

The unit, operating under the Airtel Money brand in Africa, includes mobile wallets, merchant and commercial payments, virtual credit card and international money transfers available across 14 countries in the region.

Airtel Africa, which offers Airtel Money in Nigeria in partnership with a local bank, said it aims to have all mobile money operations to be owned and operated by AMC BV.

SOURCE: AGENCIES