Ex-Network International Leaders Secure $6M for Enza: Revolutionizing African Fintech for Banks
Over the last decade, Network International, based in Dubai, has emerged as a leading payment processor in the Middle East and Africa, significantly due to strategic acquisitions. However, the landscape is evolving, with innovative startups like Enza disrupting the market. Founded in 2022 by former Network executives, Enza is poised to transform local payment solutions in the region.
Enza: A New Era in Fintech
Enza, which secured $6 million in seed funding, aims to provide robust infrastructure for banks and fintechs, offering a variety of local payment solutions including:
- Card payments
- Digital wallets
- Real-time payment processing
Founders’ Vision and Experience
The founders, Hany Fekry and Hamish Houston, previously held senior roles at Network International, managing global acceptance, processing, and consumer finance. They identified a significant gap in the market for comprehensive solutions tailored for banks and fintechs, particularly within Africa.
After parting ways with Network, they officially launched Enza in January 2023. “Our divergence prompted us to take a step back and rethink how to address these underserved needs in the market,” Fekry shared in an interview with TechCrunch.
Targeting Key African Markets
Enza’s platform is designed to cater to both banks and fintechs on the issuing side, as well as SMEs and merchants on the acceptance side. The startup is initially focusing on three of Africa’s largest financial markets:
- Egypt
- Nigeria
- South Africa
Payments are often the first entry point into formal finance for many underserved small businesses in Africa. Enza aims to facilitate in-person and online payment acceptance at minimal or no cost, fostering long-term relationships between banks, fintechs, and businesses.
Leveraging Data for Value
According to Andrew Key, who joined Enza as an executive director, “Payments are the gateway. But the real value lies in the data and services that can be layered on top.” This innovative approach is reshaping the dynamics between banks and fintechs in Africa.
Despite the rise of fintech companies, banks retain a crucial role as the regulated backbone of most payment aggregators. Enza aims to enhance transparency and control for banks over their payment ecosystems, helping them maintain compliance while scaling operations.
Comprehensive Payment Solutions
Enza offers a wide range of payment options, integrating with local card schemes such as:
- Verve
- AfriGo
- Meeza
Additionally, it connects with global networks like Visa and Mastercard, as well as real-time payment infrastructures, including:
- Nigeria’s NIBSS
- South Africa’s PayShap
- Egypt’s InstaPay
Enza also supports mobile money, telco wallets, QR codes, buy-now-pay-later (BNPL), and contactless payment features.
Building Quality Partnerships
The founding team’s extensive experience and established relationships across the continent have enabled Enza to secure contracts with several banks. They have worked with nearly 200 banks throughout their careers but are now focusing on building strong partnerships with 30 to 40 high-quality institutions.
Since its inception, Enza has already achieved over 10 million monthly contracted transactions through partnerships with banks in six African markets: Rwanda, Nigeria, Ghana, Egypt, Uganda, and South Africa. The fintech charges banks on a per-transaction basis, with transaction volumes growing by 35 to 40% month-over-month.
Future Growth and Expansion
Initially bootstrapped by its founders, Enza later raised funds through a $6 million seed round led by Algebra Ventures and Quona Capital. This capital will be utilized to expand the team and develop new products for its banking clientele across Africa.
“We founded Enza to solve real infrastructure problems across Africa,” said Fekry. “Our goal is to ensure that families and communities can access financial products comparable to those in Europe or the U.S. at a low cost, anytime they want.”
