Dopay, a fintech company, has announced the successful closing of a $13.5 million strategic funding round as part of its Series A extension. This achievement adds to a previous $18 million Series A funding round, marking a significant milestone in Dopay’s mission to transform cash-based economies into digital financial systems, targeting unbanked workers in emerging markets.
Through its innovative virtual banking platform, Dopay digitizes cash payments from employers to workers and other beneficiaries. This allows it to capitalize on one of the major fintech opportunities in emerging markets. The new funding round, led by Argentem Creek Partners with participation from existing investors, will accelerate Dopay’s expansion in Egypt. Additionally, the company plans to launch a range of new financial services and expand its multi-bank, multi-country platform to other markets.
In this context, Maarten Terlouw, Co-Chief Investment Officer at Argentem Creek Partners, stated, “We believe that the payroll-centric approach is key to integrating unbanked workers in emerging markets into the financial system. This model strengthens long-term customer relationships and provides a robust foundation for selling financial products such as earned wage access, personal loans, credit cards, business loans, insurance, savings, and investments. We are impressed by Dopay’s multi-bank, multi-country platform, and we are excited to support the company in its next growth phase. We look forward to working closely with the talented Dopay team.”
Kaj-Erik Relander, an existing investor and member of Dopay’s Board of Directors, added, “The unique capabilities of Dopay’s platform and the large unbanked population present a fantastic growth opportunity. Our continued support reflects our confidence in Dopay’s mission to revolutionize financial services in emerging markets.”
Frans van Eersel, Founder and CEO of Dopay, commented, “This funding comes at a pivotal moment as our growth follows a hockey stick trajectory. The new funding round will help us elevate our platform, and in collaboration with our banking partners, we will leverage the deposited funds to create a self-financing lending model. This model will allow the deposited funds to feed the lending portfolio, fostering a sustainable and mutually beneficial financial system. Our customers can look forward to new financial products that will be seamlessly integrated into our platform, enhancing their overall experience.”
