Nigerian card-issuing fintech Allawee has told customers that it will close its business and personal account services on December 1, 2026. The decision follows a 2025 acquisition by payments processor Paystack that was not publicly announced at the time. Emails seen by TechCabal confirm that Allawee's technology now operates within Paystack, and customers must prepare for the shutdown.
Customer Deadlines and Account Closure
Allawee customers have until November 30 to withdraw balances, update payment recipients with new bank details, and replace saved card information on subscriptions. The company said any payment sent to an Allawee account number from December 1 will fail, while cards will stop working regardless of their printed expiry dates. Remaining balances will not expire or be forfeited, but users will need to email a designated support address for manual payouts, which may take longer.
A Shift from Credit to Card Infrastructure
Founded in 2022 by Ikenna Enenwali and Oreofe Olurin, Allawee originally launched as a credit card lender before pivoting to credit-risk software. It later settled on card infrastructure that allowed banks and fintechs to issue and manage their own cards. By May 2025 the company was serving clients such as Piggyvest, Nomba, and Carbon, reducing card launch timelines from months to weeks.
Allawee's Product Legacy
Before the acquisition, Allawee also offered business accounts through a partnership with Providus Bank and issued a Mastercard credit card aimed at federal civil servants and members of the National Youth Service Corps. Co-founder and CEO Enenwali told TechCabal in May 2025 that the company wanted to restore fintech confidence in cards after Nigerian firms dropped Visa and Mastercard to cut costs. The card infrastructure business made Allawee a logical target for Paystack once it held a banking licence.
Where Allawee Products Will Move
Existing Allawee products are being split between two Paystack businesses after the shutdown. Businesses using Allawee accounts are being directed to Paystack MFB, the microfinance bank tied to Paystack's earlier acquisition of Ladder Microfinance Bank. Individuals are being directed to Zap, Paystack's consumer transfer app, but balances, account numbers, transaction histories, and verification records will not carry over.
Paystack's Acquisition Strategy
Allawee is the second fintech brand folded into Paystack this year after business banking startup Brass was absorbed into its microfinance bank in June. Since January Paystack has also acquired Ladder Microfinance Bank, obtaining a banking licence, and restructured under a new holding company. These moves show Paystack assembling a financial-services business largely through acquisitions rather than building every component from scratch.
A Wider Fintech Consolidation Wave
Similar consolidation is unfolding across Nigeria's fintech sector after the funding boom between 2020 and 2022. Many startups built overlapping products, and tighter capital plus closer regulatory scrutiny have made acquisition cheaper and faster than developing the same capabilities internally. In January Flutterwave acquired open banking startup Mono to gain direct account-to-account rails and identity data for future credit and financial services.
Allawee's closure marks another step in Paystack's rapid expansion into banking and consumer financial services. For customers, the immediate priority is to move funds and update payment details before the November 30 deadline. The acquisition also illustrates how Nigerian fintech leaders are consolidating infrastructure and licences to strengthen their positions in a maturing market.
Source: TechCabal