Zimbabwe: Brainworks Takes Over Nettcash

Investment holding company Brainworks Capital has acquired the entire shareholding of mobile wallet company Nettcash and will soon re-brand to fit it into the group's identity. Nettcash was previously owned by American company Mozido Inc and a local consortium led by businessman Darlington Kudenha.

Brainworks managing director George Manyere confirmed the two-phased acquisition valued at $1,3 million."The deal is a series of transactions involving the acquisition of 49 percent belonging to a local business consortium. We have received all regulatory approvals for this particular stake. We now await regulatory approvals pertaining to the shareholding (51 percent) belonging to the foreign company (Mozido)"

Mr Manyere, however, said the group had already taken over the operations of the company and will soon re-brand it to GetCash to fit into the group's broad identity in financial services. Brainworks is a major shareholder in GetBucks Zimbabwe, a deposit-taking micro-finance institution and GetSure.

Nettcash will enjoy synergies with recently listed Getbucks in the same way that competing mobile wallet EcoCash does with Steward Bank.

Nettcash managing director Medicine Mavhondo said the focus is on growing market share as potentially it can be the biggest mobile wallet in the country as it cuts across the three mobile networks. Zimbabwe is increasingly looking towards mobile money technology in light of the cash shortages which worsened in the last three months. The advantage that Nettcash has is that it functions across all mobile networks.

"The simple strategy that we have is to begin to regain the market share in the form of our subscriber base because we are pretty much sitting way dip at just about two to three percent. That is simply not acceptable to us, so we want to push to get those subscriber numbers up," he said.