Carbon, a leading digital financial services provider, has made a significant move by acquiring Vella Finance, a Nigerian fintech company specializing in serving small and medium-sized enterprises (SMEs). The acquisition, announced through an official statement, marks a pivotal moment for the Nigerian fintech industry.
While specific financial details of the acquisition were not disclosed, Carbon, through its parent company One Credit Limited, successfully completed the acquisition of Vella Finance, which was founded two years ago. The acquisition holds strategic importance as Carbon aims to harness Vella Finance’s AI-powered SME banking feature, enabling users to gain valuable insights from their financial transactions.
Tolu Adedayo, the co-founder and COO of Vella Finance, revealed that several founders and team members from the startup have already joined Carbon as part of the acquisition. The integration will extend to Vella Finance’s 8,000 SME customers, who will transition to Carbon Business in the near future. Additionally, individual customers will have the option to upgrade to business accounts.
Chijioke Dozie, the co-founder of Carbon, emphasized the strategic synergy between the two entities, stating, “Carbon spearheaded the consumer finance revolution in Nigeria in 2016. Our goal was to give consumers unprecedented access to finance from their mobile devices. They had built an SME platform that we believe is unrivaled in the market and given our aspirations, the deal was a no-brainer.”
Mark Afolabi, the co-founder and CEO of Vella Finance, echoed the sentiment, highlighting the significance of this alliance for businesses in Nigeria. He emphasized the combined potential to offer AI-driven insights, low-cost accessible loans, and powerful AI models to tackle business challenges.
Vella Finance assured its customers that the change in ownership will not affect its commitment to serving their needs. Instead, it aims to leverage this acquisition in reaching a wider customer base, developing innovative financial products, and ensuring a more secure banking experience.
Notably, the co-founders of Carbon, Chijioke Dozie and Ngozi Dozie, have deep roots in the Nigerian financial landscape, being the sons of the former chairman of Diamond Bank and MTN Nigeria, Paschal Dozie. Their vision for financial inclusion and innovation is deeply ingrained, stemming from their upbringing in an environment deeply influenced by the banking sector.
