TLDR

• Tyme Group, the digital banking firm backed by South African billionaire Patrice Motsepe, raised $250 million in its latest funding round pushing its valuation to $1.5 billion
• Latin America's Nu Holdings led the round with a $150 million investment, marking its bet on fintech growth in Southeast Asia and Africa
• The funding underscores growing investor confidence in fintech after a challenging period of rising interest rates

Tyme Group, the digital banking firm backed by South African billionaire Patrice Motsepe, raised $250 million in its latest funding round, pushing its valuation to $1.5 billion. Latin America's Nu Holdings led the round with a $150 million investment, marking its bet on fintech growth in Southeast Asia and Africa.

Other contributors include M&G's Catalyst Fund ($50 million) and existing investors Tencent, Gokongwei Group, and Norrsken22, who added another $50 million. African Rainbow Capital Investments remains Tyme's lead shareholder with a 40% stake.

TymeBank, the group's South African subsidiary, has over 10 million customers, while its Philippines joint venture and new Vietnamese operations add to a 15-million global user base. The lender also targets Indonesia for growth, eyeing acquisitions to secure a banking license. Tyme plans to become the Philippines' top retail bank and replicate its success in Indonesia before pursuing an IPO by 2028, aiming for a 30% return on equity in South Africa.

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Key Takeaways

Tyme Group's $250 million funding underscores growing investor confidence in fintech after a challenging period of rising interest rates. Its valuation at $1.5 billion marks it as one of Africa's few unicorns, alongside notable fintech peers such as Flutterwave and MNT-Halan. The investment by Nu Holdings, Latin America's largest digital bank, highlights Tyme's strategic role in connecting emerging markets across Africa and Southeast Asia. Nu's backing signals confidence in Tyme's scalable model for digital financial inclusion. The digital lender's IPO plans for 2028 reflect its ambitions to become a leading retail bank across emerging markets. For South Africa, Tyme's performance reaffirms its role as the country's only Black-owned commercial bank, with strong return-on-equity targets.