Business Maverick: Africa Unicorn Maps Nasdaq IPO Unfazed by Regulatory Hurdles

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Flutterwave Inc., an Africa-focused financial technology firm, is preparing for an initial public offering on the Nasdaq stock exchange, even as it deals with regulatory hurdles in its key markets.

The San Francisco and Lagos-based company will use the funds to expand operations in its existing markets and enter new ones in Africa, according to Chief Financial Officer Oneal Bhambani. The executive along with three others joined the company in June from American Express Co. as Flutterwave moves to bolster corporate governance at a firm that’s struggling with allegations of financial impropriety.

“We have the attractive market potential and opportunity to do so now,” Bhambani said in an interview Friday. The listing is an initiative of the payments company that’s “reaching the scale and trajectory comparable to what other investors seemed to invest in the public markets,” he said, without giving further details.

Flutterwave, valued at more than $3 billion and backed by B Capital Group and Tiger Global Management LLC, had its bank accounts in Kenya frozen under anti-money laundering rules and the central bank said it isn’t licensed to operate payments services in the country. The company has also been struggling with allegations in the media and lawsuits — including claims of refusing former employees stock rights, harassment and bullying — casting doubts over its IPO plans.

 

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