Carbon, a digital financial services provider, has acquired Vella Finance, a Nigerian fintech firm specializing in services for small and medium-sized enterprises (SMEs).
The acquisition was announced in an official statement on Wednesday, without disclosing the financial terms of the deal. Vella Finance, which is two years old, was acquired by Carbon through its parent company, One Credit Limited.
The digital bank plans to utilize Vella Finance’s AI-powered SME banking feature, which provides users with actionable insights from their financial transactions.
Tolu Adedayo, co-founder and COO of Vella Finance disclosed that numerous founders and team members from the startup have transitioned to Carbon post-acquisition.
Adebayo also noted that this move will benefit Vella Finance’s 8,000 SME customers, who are set to transition to Carbon Business shortly.
The digital bank intends to harness Vella Finance’s AI-driven SME banking feature to offer users valuable insights derived from their financial activities.
Tolu Adedayo, the co-founder and COO of Vella Finance, announced that a significant number of the startup’s founders and staff have moved to Carbon following the acquisition.
Furthermore, Adedayo highlighted that this transition will advantageously affect Vella Finance’s 8,000 SME clients, who are expected to switch to Carbon Business soon.
We’ve long admired the Vella Finance team for their innovative approach and deep understanding of market needs, recognizing in them the pioneering spirit that also drives Carbon,” Dozie explained.
“Their development of an SME platform, which we view as second to none, made partnering with them an obvious choice given our goals,” he added.
Mark Afolabi, co-founder and CEO of Vella Finance, expressed enthusiasm about the merger, “This partnership marks a thrilling development for businesses, especially in these challenging times for Nigerian enterprises. Together, we aim to offer a robust platform that delivers AI-powered transaction insights, affordable loans, and AI-driven solutions to tackle a variety of business challenges.”
Vella Finance reassured that its dedication to customer service remains unchanged despite the change in ownership.
The startup announced that the acquisition would enable them to expand their customer base, innovate new financial products, and enhance the security of their banking services.
In a related note, Carbon’s co-founders, Chijioke Dozie and Ngozi Dozie, are descendants of Paschal Dozie, the former chairman of Diamond Bank and MTN Nigeria.
Their older brother, Uzoma Dozie, who previously served as CEO of Diamond Bank, went on to establish Sparkle, a digital microfinance bank.
Having been raised in a banking-centric household, the siblings are well-versed in the financial industry.
