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Home»Nigeria»Africa’s biggest bank considers stake in Nigerian fintech OPay ahead of planned $4 billion US IPO
Nigeria

Africa’s biggest bank considers stake in Nigerian fintech OPay ahead of planned $4 billion US IPO

Ghana NewsBy Ghana NewsAugust 18, 2026No Comments4 Mins Read
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The South African banking group has held preliminary discussions about an investment in the SoftBank-backed company, Bloomberg reported⁠, citing people familiar with the matter.


The size and structure of any potential investment have not been disclosed. The discussions remain at an early stage and may not lead to an agreement.


Representatives of Standard Bank and OPay did not comment on the discussions, according to the report.


A deal would give Standard Bank exposure to one of Nigeria’s largest digital payments platforms at a time when traditional lenders are seeking a greater share of Africa’s fast-growing fintech market.


It could also provide OPay with the backing of Africa’s largest banking group as the company seeks to persuade international investors that its Nigerian payments business can sustain its rapid growth.


OPay’s planned US listing


OPay has been preparing for a possible initial public offering in the United States later in 2026.


The company is working with Citigroup, Deutsche Bank and JPMorgan Chase on the proposed share sale, which could value the business at about $4 billion, according to an earlier Bloomberg report.


However, the final valuation, timing and size of the offering will depend on market conditions and investor demand.


A $4 billion valuation would be twice the $2 billion OPay secured during its last major funding round in 2021.


OPay raised $400 million in that round, led by SoftBank Vision Fund 2. Other investors included Sequoia Capital China, Source Code Capital, Redpoint China, Long-Z Capital and 3W Capital.


The fundraising remains one of the largest completed by an African-focused technology company.


An investment by Standard Bank before the IPO could give OPay another major institutional shareholder and provide a valuation marker ahead of the proposed public offering.


It could also allow the South African lender to benefit if OPay secures a higher valuation when its shares begin trading.


Nigeria remains central to OPay


Founded in 2018, OPay built its business in Nigeria through mobile wallets, bank transfers, merchant payments, debit cards, savings products and an extensive agency banking network.






Nigeria remains OPay’s largest market, accounting for most of the fintech company’s revenue and payment activity. [Opay News Today]


Although the company also operates in markets including Egypt, Pakistan and Indonesia, Nigeria remains the centre of its business.


Figures contained in an investment document circulated ahead of the planned IPO showed that Nigeria accounted for 88.1 per cent of OPay’s revenue in 2025.


OPay reportedly processed $358 billion in gross transaction value during the year, up from $166.2 billion in 2024. Its monthly active users increased from 25.1 million to 39.3 million over the same period.


Revenue rose from $205.7 million in 2024 to $536.3 million in 2025, while the company returned to operating profit, according to figures from the document. These figures have not been independently published in audited financial statements by OPay.


The expansion reflects Nigeria’s rapid shift towards digital payments. Data from the Nigeria Inter-Bank Settlement System showed that electronic transactions reached ₦284.99 trillion in the first quarter of 2025, up 17.7 per cent from the same period a year earlier.


Point-of-sale payments climbed to ₦10.45 trillion during the quarter, almost three times the amount recorded in the first quarter of 2024.


Standard Bank’s digital payments push


Standard Bank operates in Nigeria through Stanbic IBTC Holdings and has previously signalled its intention to deepen its investment in the country.


The group already owns a controlling stake in Stanbic IBTC, which offers banking, investment, pension and asset management services.


In 2024, Standard Bank chief executive Sim Tshabalala said the group wanted to increase its shareholding in its Nigerian business, describing it as a strong operation.


The lender has also placed payments and digital financial services at the centre of its continental strategy.


Standard Bank said it processed more than R164 trillion in payments in 2025 across its 20 million customers and correspondent banking relationships. It has identified Africa’s expanding digital financial ecosystem as an opportunity to grow fee-based income without relying entirely on traditional lending.


Taking a stake in OPay would give the group access to a large base of consumers and small businesses that increasingly conduct financial transactions outside conventional bank branches.


It would also reflect a wider change in African finance. Rather than competing only with fintech companies, large banks are increasingly investing in, partnering with or acquiring digital platforms to gain technology, customers and payment volumes.


For OPay, Standard Bank’s interest provides another sign that its Nigerian operation has become strategically important beyond the country’s fintech industry.


But until an agreement is signed, the possible investment and the proposed US IPO remain subject to change.

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