South African digital fuel management solutions and telematics startup Payment24 has secured an undisclosed investment from Standard Bank, which has acquired a 40 percent stake in the company.
Launched just over five years ago, Payment24 supports companies with large fleets and has already seen wide adoption of its fuel management app via partnerships with major filling stations.
The company’s solutions – including the Payment24 fuel management platform, fleet fuel management solutions, mobile fueling solutions, vehicle tracking, telematics and geofencing solutions – are developed out of South Africa to support smart fleet and fuel management and payments on the African continent.
It has now secured funding from Standard Bank, selling a 40 percent stake in the business, to fast-track its growth. Shadab Rahil and Nolan Daniel, co-CEOs of Payment24, said the deal came on the back of a successful three-year relationship with various divisions of Standard Bank, which included the roll-out of the BlueFuel Fleet Card system across Namibia.
“We have had a good relationship with Standard Bank for some years, and our new partnership presents opportunities for both Standard Bank and Payment24,” said Rahil. “Standard Bank is the biggest bank in Africa, so this gives Payment24 leverage for growth into new markets and customer segments across the continent. We are already on a growth trajectory, but this new deal positions us for further exponential growth. We see this as a very strong partnership, with synergies across a number of divisions.”
Derick De Vries, executive head of fleet management at Standard Bank, said the activities of Payment24 align to Standard Bank’s efforts and key strategic objectives of developing meaningful relationships that provide innovative solutions for clients.
“Through our strategic investment into Payment24, Standard Bank Fleet Management will strengthen its footprint across the African continent and will remain the leading digital and analytics-led fleet management services provider in Africa,” he said.
De Vries said it would also allow Standard Bank to provide its customers and oil company partners with an effective and digitally enabled solution to facilitate fuel, repairs, and toll purchases across the 35 transport hubs and corridors in Africa.