Ukheshe International, an African fintech company, bought 100% of EFT Corporation Limited (EFTCorp) from its parent, Loita Transaction Services (LXS), a pan-African provider of payment solutions and financial switching.

The fintech announced the acquisition yesterday, stating that it will help the business scale and expand its reach across Africa and other regions.

EFTCorp, a 23-year-old digital payments firm in 35 African nations, serves over 100 bank processors. It is known for its core switching expertise and issuer processor technology, whereas Ukheshe provides a suite of end-to-end digital services to help banks digitise.

Ukheshe, headquartered in South Africa, announced the acquisition, stating that the deal will provide the company with access to new technologies and prospects in a diversified market, increasing exposure to different clients, projects, and commercial opportunities across Africa and the Middle East.

It also stated that Ukheshe's focus on digital onboarding, KYC, digital wallets, and multiple payment channels will create new chances to digitise EFTCorp's conventional customers who rely on established electronic payment processing systems.

Ukheshe Technologies and EFTCorp will continue to function as separate organisations with distinct brand identities for the foreseeable future.

According to the news release, the purchase would allow EFTcorp's management and founding CEO Stephen Enderby to continue driving the company's growth.

Clayton Hayward, co-founder and CEO of Ukheshe, said the market is “ripe for consolidation and disruption”, and the move with two “like-minded executive teams and products” will position them well for the future.

EFTCorp’s Enderby added: "I've been looking for a partner to help support and build EFTCorp's digital strategy. As a group, we continue to seek complementary acquisitions and investment opportunities across the continent and the Middle East."