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Funding
Uber leads $100 million Series B round in Moove
Moove is on a fundraising spree.
Last month, whispers of a potential $100 million equity investment in Moove from Uber made it into the media. The report by Bloomberg comes after the vehicle financing company raised about $10 million to expand into new Indian markets.
Yesterday, the speculation came to a head as Uber confirmed its investment in Moove.
The news: Moove has raised $100 million in a Series B round led by Uber, according to reporting from TechCrunch. The new funding round brings Moove’s total fund raised to date to about $460 million—$250 million in equity and $210 million in debt.
Mubadala Investment Company, a sovereign wealth fund that also invested in Moove’s Series A round, also participated in the Series B round. Other investors in the round include The Latest Ventures, AfricInvest, Palm Drive Capital, Triatlum Advisors, and Future Africa. Moove, which operates in six countries, will use the new funding to expand to 16 more markets by the end of 2025.
Why the Uber Moove? Uber’s investment in Moove might be a plot to secure a reliable stream of drivers for its ride-hailing platform. Ladi Delano, Moove’s CEO, thinks of the investment as a validation of the car financing startup’s business model.
Moove, which operates in six countries, says it will use the new funding to expand to 16 more markets by the end of 2025.
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Fintech
Brass secures funding after facing withdrawal delays
Brass, a Nigerian business banking startup, had its customers face delayed withdrawals starting in October 2023, which caused frustration and prompted questions about its financial health.
In early March, Brass attributed the withdrawal delays to an increase in its number of customers and the challenging funding environment for fintech startups—having only raised $2 million in 2021.
In mid-2023, the company lost a key source of funding when a major liquidity partner pulled out. This could be another factor contributing to the delays.
The startup explored various solutions. On March 4th, for example, Akindolu announced the layoff of an undisclosed number of employees, aiming to weather the storm until they can be reintegrated. According to sources, Brass also allegedly approached Flutterwave for a potential acquisition, but the deal did not succeed. The startup also sought capital injections from larger startups like Moniepoint but was unsuccessful.
Helping hands save Brass: After navigating a rocky few months, Brass has received a lifeline in the form of a new funding round. Four sources familiar with the situation revealed that the funding, comprising both debt and equity, was concluded last week, but the precise amount remains undisclosed. Notably, several Nigerian fintech leaders collaborated to support Brass over the last few weeks.
With the new funding secured, Brass claims to have resolved the withdrawal issues, and customer reports confirm successful transactions. Whether this financial injection marks a complete turnaround or just a reprieve remains to be seen.
Telecom
Vodacom lays off 80 employees in South Africa
Despite recent successes like achieving significant revenue and operating income—35% and 32%, respectively, as per its latest financial report— Vodacom, a South African telecoms giant, is also grappling with several challenges.
One notable challenge is its high-profile legal battle with a former employee regarding compensation for the popular “Please Call Me” service, which could potentially cost the company 10% of its market capitalisation—R20 billion (~$1 billion). Now, the company plans to trim its South African workforce.
Layoffs: Vodacom has announced plans to cut 80 jobs across various departments to ensure “sustainable operations and maintain financial resilience.” In essence, to cut costs. The telecom company justifies the job cuts as a necessary step in its transition from a traditional telecom company to a leading technology player. A company spokesperson emphasised their commitment to “ensuring business operations are fit for purpose.”
Vodacom, which employs roughly 5,400 people, has seen its stock price dip 2% following the news.
Zoom out: Now branding itself as an African-focused connectivity, digital and financial services firm, Vodacom Group Limited has a presence in seven African countries including Tanzania, the Democratic Republic of the Congo, Mozambique, Lesotho, Kenya, Ethiopia and Egypt.
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Social media
TikTok introduces new rewards
A year ago, TikTok moved beyond its signature short video format to allow longer videos. The play was to allow creators on the platform to make more money. TikTok ran the invite-only programme in beta, requiring creators to videos exceeding one minute to qualify for monetization.
TikTok has now officially launched the feature and renamed it the Creators Reward Programme.
How do I qualify? To qualify for the Creator Rewards Programme, creators must be at least 18 years old, have at least 10,000 followers with a minimum of 100,000 views in the last 30 days, and have a personal account in good standing where the programme is available.
TikTok says it will reward creators based on four core metrics: originality, play duration, search value, and audience engagement. Since its debut last year, TikTok claims some creators have maxed out their earnings, pulling in $14,000 per effect and $50,000 monthly. TikTok also claims creators’ earnings have increased by 250% in the past six with a double increase in the number of creators earning $50,000 a month.
Are African creators earning? While TikTok rewards is present in about 53 countries globally, only two African countries, South Africa and Morrocco, benefit from the programme, raising questions about potential benefits for other African creators. Social media platforms have in recent times paid meagre amounts for African creators.
For instance, YouTube creators in Nigeria do not average as much earnings as their European counterparts. YouTube often cites concerns about low subscription rates across the continent, where users are largely fragmented and unable to afford paid subscriptions.
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Crypto Tracker
The World Wide Web3
Source:
|
Coin Name |
Current Value |
Day |
Month |
|---|---|---|---|
 Bitcoin |
$62,843 |
– 3.69% |
+ 22.31% |
| Ether |
$3,252 |
– 4.52% |
+ 11.48% |
 Book of Meme |
$0.012 |
+ 35.30% |
+ 1291.84% |
| Solana |
$176.26 |
– 3.67% |
+ 57.91% |
* Data as of 4:35 AM WAT, March 20, 2024.
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Opportunities
- In collaboration with AfriGloCal VC, a venture capital firm building the African future by investing in entrepreneurs with global perspectives and innovative solutions, Lagos Innovates unveils its latest initiative, the Female Founders & Funders Program, an incubation and acceleration program designed for women. Female Startup Founders, apply here. Female Funders/Angel Investors, apply here.
- The Corporate Social Responsibility arm of MTN Nigeria, MTN Foundation has opened applications for phase two of its “Yellopreneur” initiative, through which it intends to offer 150 female entrepreneurs with ₦3 million ($1,900) each as loans to boost their businesses. Apply by March 30.
- Applications are open for the Access Bank Youthrive Program for Nigerian MSMEs. The program is a collaboration between the bank and the Vice President’s office, dedicated to empowering individuals and MSMEs. With a focus on capacity development, financial empowerment, and business exchange, the program aims to impact 4 million youths over the next four years. Apply here.
Here’s what you should be looking at
Written by: Mariam Muhammad & Faith Omoniyi
Edited by: Timi Odueso
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