Payaza Receives SEC ApprovalPayaza Receives SEC Approval
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Payaza Receives SEC Approval to Raise $13 Million

The Nigerian fintech will issue Series 3 and 4 under its commercial paper programme

7/31/2025
•Anass Baddou
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Nigerian fintech company Payaza has received regulatory approval from Nigeria’s Securities and Exchange Commission (SEC) to raise an additional $13.5 million as part of its $33.8 million commercial paper programme. The approval follows a similar endorsement from the FMDQ Exchange in December 2024, further validating Payaza’s approach to diversified fundraising. This development marks a significant step in the company’s ambition to scale its infrastructure and services across Africa.


Staggered Issuance Offers Financial Flexibility

Payaza will raise the new capital in two phases, identified as Series 3 and 4 of its ongoing commercial paper programme. According to CEO Seyi Ebenezer, the multi-tranche structure allows the company to respond strategically to market conditions and specific funding needs, rather than relying on a single large capital raise. He noted that this format had already proven effective in the earlier Series 1 and 2 rounds.

Investor Interest Reflects Market Trust

Although the latest approval has just been granted, Payaza has reported significant investor interest in the upcoming tranches. Ebenezer described the SEC’s nod as a strong endorsement of the company’s business model, financial health, and broader vision for the African payments ecosystem. The fintech is confident that the funding will be raised successfully, supported by a growing appetite for alternative financing structures in Nigeria.

Track Record of Responsible Capital Management

In June, Payaza completed the repayment of $10 million from its Series 1 issuance, showcasing its ability to manage non-equity funding responsibly. The repayment milestone is notable in a market where venture capital is often viewed as the default funding route for startups. Ebenezer revealed that this achievement was the result of deliberate efforts to build investor trust and a strong brand reputation over several years.

Pan-African Payment Solutions for a Growing Market

Founded in 2020, Payaza has quickly established itself as a trusted payment infrastructure provider across the African continent. The company offers a range of services, including collections, disbursements, and white-label solutions, enabling smooth financial transactions for both individuals and enterprises. Its emphasis on cross-border capabilities has made it a key player in Africa’s evolving fintech landscape.

Commercial Paper as an Emerging Financing Trend

Payaza’s use of a commercial paper programme positions it as a leader among African startups exploring debt-based financing. With equity markets becoming more cautious and valuations tightening, such instruments offer founders a way to raise capital without diluting ownership. The company’s successful Series 1 repayment and continued investor confidence signal the viability of this model for other fintechs eyeing scale.

Capital Deployment Focused on Expansion and Innovation

The company plans to allocate the new capital toward expanding its infrastructure and enhancing its service offerings across Africa. This includes technological upgrades, regional expansion, and product development tailored to local markets. By reinvesting in its core operations, Payaza aims to strengthen its position as a go-to payments partner for businesses operating within and beyond Nigeria.


With regulatory backing and investor momentum, Payaza is charting a new course for fintech fundraising in Africa. Its disciplined use of commercial paper, combined with a strong operational track record, offers a compelling alternative to traditional venture capital. As it prepares to launch Series 3 and 4 of its programme, Payaza stands out as a fintech demonstrating both financial maturity and strategic foresight in a dynamic market.

Source: Techpoint.Africa