The Nigerian fintech startup Kippa, which is backed by investors that include Saison Capital and Horizone has now transferred the operations of KippaPay to Bloc, a Nigerian fintech that looks to launch banking services soon.
KippaPay is an agency banking product that was shut down in October and the news of this transfer implies that the KippaPay ecosystem will be integrated into Bloc and their operations will be carried out by Bloc.
Recent reports show that KippaPay has been integrated into GPay, which is a payment subsidiary Bloc owns. “ Kennedy Ekezie who is the CEO of Kippa said “The deal was closed weeks ago. After speaking with several other companies, we chose to go with Bloc because they showed the most ability to provide immediate support for our merchants”.
After the Naira devaluation in June, KippaPay increased the cost of purchasing its POS terminals for its banking agents and since the market was highly competitive, they were in for a hard time as it was impossible to make a profit without raising the commission it charged it’s agent.
As of yesterday, Bloc emailed its users announcing the restoration of all the services on the KippaPay mobile app and Android terminal. However, the same email said that services have not been restored fully to the Linux terminal.