African fintech Flutterwave readies for IPO

Flutterwave, the Nigeria-based digital payments company and Africa’s most valuable startup, has made changes to its corporate team as part of moves aimed at preparing for an initial public offering, its chief executive told Semafor Africa.

Olugbenga ‘GB’ Agboola, speaking at Semafor’s World Economy Summit in Washington D.C. on April 18, described Flutterwave’s hopes for a public offering as part of a broader future agenda. “Right now our goal is to be IPO-ready, ensuring we have the right corporate governance in place, making sure we are operating well,” Agboola said. “We want to be a long-term company in Africa, for Africa – and so the goal is building the right infrastructure to be here for the next ten-plus years.”

Flutterwave’s core product is processing online payments, enabling businesses to receive payments from consumers and businesses operating in Africa. It currently operates in more than 30 countries, according to Agboola, with Uber being a flagship client on the continent. Key among the company’s milestones for being IPO-ready are recent hires, including a new board chair, two independent directors, and experienced executives to fill roles needed to “translate tech speak” for regulators, Agboola said.

The hires come on the back of a number of high-profile departures in recent months. An ex-American Express executive who was Flutterwave’s chief finance officer left after two years last November, while a chief operating officer who had been in her role for six years left in March.

The exits raised doubts about the company’s readiness to go public, as have operational lapses like the loss of tens of millions of dollars through supposed unauthorized transactions allegedly carried out by vendors in Nigeria. A court permitted the company to contact the vendors to begin recovery of the money lost in October.