Yassir, an Algerian “super app” has raised $150 million in its latest round of funding. The round was led by VC firm Bond, with participation from other investors including DN Capital, Dorsal Capital, etc. becomes the biggest series B in North Africa so far. This also sums Yassir’s total funding at $193.25 million, after it raised $13.25 million in an early seed round and $30 million in a series A funding round back in November 2021.
Yassir, with its newly gained funds, becomes the most valuable startup in North Africa, according to Techcabal. Yassir plans to stretch its operations beyond the 45 cities and six countries it is currently present in by digging deeper into more parts of North Africa and the rest of the world.
The Algerian startup, which launched in 2017, started as a ride-hailing company and extended into financial services such as banking and payments. Through its digital banking services, the company earned the trust of its users in a region that is hesitant to the adoption of digital banking. Yassir has now grown into a “super-app” that offers three services including ride hailing, food and grocery delivery and, recently, financial services.
- The company, which claims it is now the most valuable startup in North Africa, says it generates revenue for its partners, comprising drivers, couriers, merchants, and wholesalers, among other gig workers and vendors. Yassir also boasts of having over 8 million users.
- Its business model highlights a multi-faceted marketplace nature that not only targets consumers, but the entire supply chain of drivers, couriers, wholesalers, vendors, etc.
- Yassir has digitized the informal sector by connecting fast-moving consumer goods (FMCGs) suppliers and other manufacturers directly to its merchants.
FinTechs in Africa have, by a wide margin, dominated the continent’s tech ecosystem in terms of investment. The niche gained 63% or $3 billion of the funding that went to African startups in 2021. And according to a report from TechCabal’s funding tracker, FinTechs are still putting on a good show in 2022, seeing that they have attracted fundings over $660 million (June 2022).
- This growth is because users are finding digital finance solutions more convenient and cheaper when seeking loans, making purchases, paying bills and managing expenses compared to financial services offered by local banks.
- Reports have shown that the revenues of FinTech companies in Africa could grow as high as eight times to $30 billion by 2025.