Stitch, a fintech startup based in South Africa, has recently acquired ExiPay, a startup specializing in in-person payment solutions for retail businesses. The acquisition aims to merge online and in-person payment services into one cohesive platform, streamlining payment tracking for enterprises.
This strategic move by Stitch broadens its product portfolio, enabling the provision of an omnichannel payment solution catering to both online and in-person transactions for corporate clients. The acquisition aligns with the increasing demand for integrated payment systems in South Africa’s retail sector, aiming to bridge the gap between online and physical payment methods.
Following the acquisition, ExiPay’s team of six has been integrated into Stitch’s operations, rebranded as “Stitch In-person payments.” This new service will be offered to existing clients, which include prominent corporations such as Bash, MTN, Cell C, and MultiChoice.
Stitch’s decision to acquire ExiPay instead of collaborating with larger in-person payment providers underscores the company’s commitment to maintaining control over its technology stack. According to Stitch CEO Kiaan Pillay, developing a similar solution internally would have required 18 to 24 months, delaying the company’s strategy to provide a unified payment platform.
Founded by Derek Keats and Willem Büchner in 2022, ExiPay facilitates in-person payments at physical stores through point-of-sale (POS) terminals. The company reported processing R2 million ($106,000) in daily transactions in 2023 and secured €5.4 million ($5.6 million) in private funding in 2024 from Izwe Africa, a fintech group supporting small businesses in Ghana, Kenya, and Zambia.
This acquisition benefits investors from both ExiPay and Stitch, consolidating resources and expertise under one entity. Stitch, established in 2019, has raised substantial funding, expanded its operations to Nigeria, and expressed intentions to further expand into markets like Kenya, Ghana, and Egypt.