2024 has proven to be another challenging year for African tech startup funding, echoing the difficulties experienced in 2023. The sector continues to grapple with the effects of a global capital shortage, which has created a tough environment for entrepreneurs seeking investment to scale their ventures.
However, there are signs of recovery as funding gradually begins to flow back into the ecosystem. This resurgence is promising, but to truly ignite the interest of both local and international investors, the African tech space needs more success stories. These success stories often come in the form of exits, which signal the maturity and profitability of the ecosystem. Among these, mergers and acquisitions (M&A) stand out as the most common type, particularly through trade sales or acquisitions, where larger companies absorb smaller, high-potential startups.
In this context, mergers and acquisitions not only provide a pathway for founders and early investors to realize their returns but also boost confidence in the ecosystem, inspiring further investments. To shed light on the trends and milestones shaping the sector, we present a detailed look at the top 10 M&A deals of 2024, highlighting the players, the strategies, and the impact of these deals on Africa’s growing tech landscape.
March
- SA’s PaySpace was acquired by Deel
American payroll and outsourcing company Deel acquired South African payroll and HR software company PaySpace. PaySpace, serving over 14,000 customers across 44 countries, including prominent multinationals, marked Deel’s largest acquisition to date, strengthening its African footprint.
April
- Ghanaian e-health startup Rivia acquires local SaaS company Waffle
Ghana-based e-health startup Rivia acquired Waffle, a SaaS company specializing in software for small and medium-sized businesses. This move aims to expand Rivia’s digital healthcare network across West and East Africa. Waffle founder Victor Nara joined Rivia as Chief Technology Officer.
May
- SA fintech company Adumo acquired by Lesaka in $85.9m deal
Lesaka acquired Adumo, South Africa’s largest independent payments processor, for ZAR1.59 billion (US$85.9 million). The deal included shares and cash, bringing Adumo’s operations under Lesaka’s fintech solutions. - Kenyan mobility startup BuuPass acquires QuickBus
BuuPass acquired QuickBus to scale operations in Nigeria and South Africa. The move will add over 5,000 new routes, onboard 100+ bus operators, and establish partnerships with brands like FNB and Vodacom. - SA home services marketplace Kandua was acquired by Santam
Kandua, a home services marketplace, was acquired by Santam, South Africa’s largest short-term insurer. Kandua will merge with Santam’s Home+ offering, forming a wholly-owned subsidiary.
June
- Yassir acquires Tunisian startup KooL
Algeria’s Yassir, a leader in mobility and delivery services, acquired KooL, a Tunisian meal delivery startup known for its high-quality service and partnerships with prestigious brands.
July
- SA fintech startup Peach Payments acquires Operativa
Peach Payments, South Africa’s second-largest online payment gateway, acquired custom software development firm Operativa. The acquisition supports Peach Payments’ growth strategy following its US$31 million Series A funding round in 2023.
August
- Nigerian ed-tech startup Quizac acquired by Tekedia Capital
Quizac, a gaming-anchored ed-tech platform, was acquired by Tekedia Capital. The deal integrates Quizac into Tekedia’s ecosystem, leveraging its resources to enhance educational engagement.
November
Nigeria’s Shyft Power Solutions was acquired by UK’s SteamaCo
Shyft Power Solutions was acquired by SteamaCo, a UK-based energy revenue management company, in a merger aimed at advancing energy solutions across Africa. The deal coincided with Shyft securing new funding led by Equator VC.
Ghanaian retail-tech startup Tendo acquires Shopa
Tendo acquired Shopa to revolutionize Africa’s supply chain infrastructure. Combining their networks and expertise, the partnership aims to scale operations and improve FMCG distribution across Ghana and Nigeria.
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