Goodwell Investments has acquired an equity stake in Oradian, a digital solutions provider for financial institutions in frontier markets. Goodwell will invest in Oradian via its UMUNTHU fund – a fund which provides risk capital and hands-on support to local entrepreneurs and institutions in sub-Saharan Africa.
Oridian enables microfinance institutions (MFIs) to grow by providing a cloud-based core banking platform that is designed to overcome the challenges common to frontier markets namely high operational costs, unreliable internet connectivity and geohazards.
The company plans to utilise the funds to grow its business across Africa and strengthen its commercial teams. It signed its first customer in northern Nigeria in 2013 and has since expanded to more than fifty financial institutions in seven countries and serves one million end-clients.
The deal was coordinated by Goodwell’s Nigerian partner Aletheia Capital.