Mastercard to Buy Stake in MTN’s $5.2 Billion Fintech Unit

Shares in Africa’s biggest wireless firm rose 4.9% on Monday
African fintech is fast growing due to lack of banking options

WATCH: MTN Group CEO Ralph Mupita discusses Mastercard’s agreement to take a minority stake in his firm’s financial-technology business and growth strategy Source: Bloomberg

Provide news feedback or report an error

Confidential tip?

Send a tip to our reporters

Site feedback:

Take our Survey

By Loni Prinsloo

August 14, 2023 at 6:57 AM UTC

Updated on

August 14, 2023 at 4:17 PM UTC

This article is for subscribers only.

Mastercard Inc. agreed to take a minority stake in the financial-technology business of MTN Group Ltd., Africa’s biggest wireless carrier, sending the telecom company’s stock up the most in three months.

The size of Mastercard’s stake won’t be disclosed until the transaction closes, but MTN said Monday that the deal values the entire fintech unit at $5.2 billion. Chief Executive Officer Ralph Mupita said on an investor call Monday the stake “will go up to a maximum of 30%, but obviously only if that makes sense.”