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Showing the power of startup women’s health brands, P&G buys This is L

Posted by on Feb 5, 2019 in africa, Exit, India, Mergers and Acquisitions, New York, p&g, procter & gamble, San Francisco, Startups, TC, Uganda, Y Combinator | 0 comments

The P&G acquisition of This is L., a startup retailer of period products and prophylactics, shows just how profitable investing in women’s healthcare brands and products can be.

A person with knowledge of the investment put the price tag at roughly $100 million — a healthy outcome for investors and company founder Talia Frenkel. But just as important as the financial outcome is the deal’s implications for other mission-driven companies.

This is L. launched from Y Combinator in August 2015 with a service distributing condoms in New York and San Francisco and steadily expanded into feminine hygiene products.

Frenkel, a former photojournalist who worked for the United Nations and Red Cross, started the company in 2013 — roughly three years after an assignment in Africa revealed the toll that HIV/AIDs was taking on women and girls on the continent.

“I didn’t realize the No. 1 killer of women was completely preventable and I think that really inspired me to action,” Frenkel told TechCrunch at the time of the company’s launch.

Now the company has distributed roughly 250 million products to customers around the world.

“Our strong growth has enabled us to stand in solidarity with women in more than 20 countries,” said Frenkel in a statement following the acquisition. “Our support has ranged from partnering with organizations to send period products to Native communities in South Dakota, to supplying pad-making machines to a women-led business in Tamil Nadu. Pairing our purpose with P&G’s expertise, scale and resources provides an extraordinary opportunity to contribute to a more equitable world.”

The company is available in more than 5,000 stores across the U.S. and is working with women entrepreneurs in countries from Uganda to India and beyond.

“This acquisition is a perfect complement to our Always and Tampax portfolio, with its commitment to a shared mission to advocate for girls’ confidence and serve more women,” said Jennifer Davis, president, P&G Global Feminine Care. “We feel this is a strong union and together we can be a greater force for good.”

For investors with knowledge of the company, the P&G acquisition is a harbinger of things to come. The combination of a non-technical, female founder operating in the consumer packaged goods market with a mission-driven company was an anomaly in the Silicon Valley of four years ago, but Frenkel’s success shows what kind of opportunities exist in the market.

“With this acquisition investors need to update their patterns,” said one investor with knowledge of the company.


Source: The Tech Crunch

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Flutterwave and Visa launch African consumer payment service GetBarter

Posted by on Jan 17, 2019 in africa, android, Apple, cameroon, ceo, Column, credit cards, E-Commerce, economy, Facebook, Finance, flutterwave, Ghana, greycroft, kenya, M-Pesa, mastercard, money, Nigeria, online payments, rave, San Francisco, South Africa, spokesperson, Uber, Uganda, visa, vodafone | 0 comments

Fintech startup Flutterwave has partnered with Visa to launch a consumer payment product for Africa called GetBarter.

The app based offering is aimed at facilitating personal and small merchant payments within countries and across Africa’s national borders. Existing Visa card holders can send and receive funds at home or internationally on GetBarter.

The product also lets non card-holders (those with accounts or mobile wallets on other platforms) create a virtual Visa card to link to the app.  A Visa spokesperson confirmed the product partnership.

GetBarter allows Flutterwave—which has scaled as a payment gateway for big companies through its Rave product—to pivot to African consumers and traders.

Rave is B2B, this is more B2B2C since we’re reaching the consumers of our customers,” Flutterwave CEO Olugbenga Agboola—aka GB—told TechCrunch.

The app also creates a network for clients on multiple financial platforms, such as Kenyan mobile money service M-Pesa, to make transfers across payment products, national borders, and to shop online.

“The target market is pretty much everyone who has a payment need in Africa. That includes the entire customer base of M-Pesa, the entire bank customer base in Nigeria, mobile money and bank customers in Ghana—pretty much the entire continent,” Agboola said.

Flutterwave and Visa will focus on building a GetBarter user base across mobile money and bank clients in Kenya, Ghana, and South Africa, with plans to grow across the continent and reach those off the financial grid.

“In phase one we’ll pursue those who are banked. In phase-two we’ll continue toward those who are unbanked who will be able to use agents to work with GetBarter,” Agboola said.

Flutterwave and Visa will generate revenue through fees from financial institutions on cards created and on fees per transaction. A GetBarter charge for a payment in Nigeria is roughly 40 Naira, or 11 cents, according to Agboola.

With this week’s launch users can download the app for Apple and Android devices and for use on WhatsApp and USSD.

Founded in 2016, Flutterwave has positioned itself as a global B2B payments solutions platform for companies in Africa to pay other companies on the continent and abroad. It allows clients to tap its APIs and work with Flutterwave developers to customize payments applications. Existing customers include Uber, Facebook, Booking.com, and African e-commerce unicorn Jumia.com.

Flutterwave has processed 100 million transactions worth $2.6 billion since inception, according to company data.

The company has raised $20 million from investors including Greycroft, Green Visor Capital, Mastercard, and Visa.

In 2018, Flutterwave was one of several African fintech companies to announce significant VC investment and cross-border expansion—see Paga, Yoco, Cellulant, Mines.ie, and  Jumo.

Flutterwave added operations in Uganda in June and raised a $10 million Series A round in October that saw former Visa CEO Joe Saunders join its board of directors.

The company also plugged into ledger activity in 2018, becoming a payment processing partner to the Ripple and Stellar blockchain networks.

Flutterwave hasn’t yet released revenue or profitability info, according to CEO Olugbenga Agboola.

Headquartered in San Francisco, with its largest operations center in Nigeria, the startup plans to add operations centers to South Africa and Cameroon, which will also become new markets for GetBarter.


Source: The Tech Crunch

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