Lesaka Technologies has announced it has completed its acquisition of Adumo, the South African financial services company.
The transaction was settled through the issuance of 17,279,803 shares of Lesaka’s common stock and a cash payment of $13.4 million, implying a total purchase consideration of ZAR 1.67 billion ($96.2 million) using Lesaka’s October 1, 2024, closing price on the Johannesburg Stock Exchange of ZAR 83.05 per share.
Lesaka CEO Southern Africa Lincoln Mali said: “The Adumo transaction is an exciting addition to the Lesaka story. It significantly enhances our technology platform, adding customers, solutions, and meaningful scale. Lesaka’s full-service fintech platform will serve 1.7 million active consumers. The Group will have over 3 300 employees operating on the ground in 5 countries: South Africa, Namibia, Botswana, Zambia, and Kenya.
The acquisition of Adumo, South Africa’s largest independent payments processor with over 20 years of experience in payment solutions, reinforces Lesaka’s position as a natural consolidator of Southern African fintech. The acquisition enhanced the Company’s strengths in both its consumer and merchant markets and followed the successful integration of the Connect and Kazang businesses and the recent acquisition of Touchsides.
Adumo CEO Paul Kent said: “We are thrilled to be joining the Lesaka group, creating a Southern African fintech of significant scale, with leading positions in several verticals and sectors. Our businesses are a natural fit with the combined solution set, distribution network and technologies positioning us perfectly to take advantage of digitization across our economy. We continue to innovate and expand the holistic suite of products and services offered to our merchants in solving for their pain points.”
