South African fintech company, Stitch, has successfully secured an additional $25 million in a Series A extension funding round. This recent capital injection led by global fintech investor Ribbit Capital, brings Stitch’s total Series A funding to an impressive $46 million.
Stitch, which emerged from stealth just over two years ago, has swiftly risen to prominence by offering tailored payment solutions to enterprise clients worldwide2. With an emphasis on addressing the intricate and evolving payment needs of large global businesses, Stitch has become synonymous with seamless, efficient, and reliable payment processing.
The company’s services include accepting payments via various methods, managing payments across multiple providers and geographies through its PayOS dashboard, and facilitating effortless fund disbursement2. Stitch operates at the infrastructure level, establishing direct connections with banks and networks, thus ensuring greater reliability, higher uptime, and faster issue resolution by eliminating middlemen.
Stitch’s robust infrastructure is the backbone for several leading global and African businesses, including industry giants like MTN, Multichoice, The Foschini Group (TFG), Standard Bank’s SnapScan, Yoco, and various global payment service provider partners.
The capital raised in this funding round will bolster its mission to further develop its comprehensive end-to-end payment solutions and extend its services into additional global markets. The company is on track to process over 50 million transactions, totaling $2 billion in total payment volume (TPV) this year.
Stitch co-founder and CEO Kiaan Pillay expressed his excitement about the funding round and the company’s future. He stated that the team has been fortunate to have prominent local and international backers in its corner since it came out of stealth in 2021. As it enters the growth stage, having healthy growth numbers matters more, especially in this current venture capital slowdown.
This funding round follows Stitch’s earlier successes, including a $21 million Series A round in February 2022 and a $6 million Seed round in 2021. With this new funding and the continued support from existing investors including PayPal Ventures, The Raba Partnership, and CRE Venture Capital, Stitch is well-positioned to continue its trajectory of growth and innovation in the global payments landscape.
Kiaan Pillay, Stitch CEO said: “We moved away from being a single-method platform to a next-generation PSP for local and global enterprises. Initially, we just had a pay-in feature where we support bank and card payments. While we’ve added more, we now have an orchestration layer, which many enterprises use to manage payment methods and reconcile across different banks. And we do payouts, whether a disbursement, a refund, or a withdrawal. Our solution is attractive for global companies trying to enter the market for the first time because of the end-to-end process.”
