TymeBank attracts global investors


TymeBank attracts global investors


Published Date: 2021-02-24 | Source: Stephen Gunnion | Author: Stephen Gunnion

TymeBank attracts global investors

The digital bank, owned by African Rainbow Capital, plans to use the cash to fund growth in South Africa and enter the Philippines.

African Rainbow Capital's TymeBank has attracted R1.6 billion in new capital from global investors as it continues to expand its business in SA and enter new markets.

The digital bank, which opened for business two years ago, received the cash injection from private equity investor Apis Growth Fund II and Philippine conglomerate JG Summit, which will take a combined 20% stake, valuing it at about R8 billion. ARC has also increased its investment to maintain a 59% shareholding in the bank.

Of the total investment, about R500 million had already been invested, with the balance expected to be invested over the next 12 to 15 months, it said.

TymeBank has grown its customer base to about 2.8 million and expects to reach a milestone of 3 million customers by the end of March. Co-founder Coen Jonker said it was likely to turn profitable within four years of its launch date.

Apart from funding local growth, TymeBank said the funds would be used to expand into the Philippines in partnership with JG Summit, which owns property, supermarkets, drugstores and shopping malls in the Southeast Asian country. The conglomerate is owned by the Gokongwei family. TymeBank CEO Tauriq Keraan said the new shareholders had significant experience in digital financial services in key emerging market.

ARC's shares fell 1.9% to R3.18 yesterday.


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